Meesho cuts loss 68% as revenue rises 34% to 4,131.6 crore rupees
Key Facts
Meesho reported a 68% reduction in net loss in the second quarter of fiscal 2026-2027, ended September 30, 2026, as revenue and orders on its platform grew, according to the company’s results and media reports. Revenue from operations was 4,131.6 crore rupees, up 34% from 3,073.7 crore rupees in the year-earlier period, Moneycontrol reported. Total expenses rose at a slower pace, increasing 24% to 4,382.3 crore rupees from 3,540.4 crore rupees a year earlier. Reuters reported that consolidated net loss was 1.32 billion rupees, compared with 4.11 billion rupees a year earlier. The results set sales and platform activity growth alongside continued high expenses, while the quarter-on-quarter comparison showed the loss remained close to its previous level.
Net merchandise value, or NMV, grew 23% year on year to 12,911 crore rupees, while the number of orders placed rose 17% to 819 million, according to Meesho data. Marketplace operations revenue was 4,120 crore rupees, up 34% from a year earlier. The company attributed the growth in this line to increased advertising monetization and better alignment of seller demand with consumer intent. Reuters reported that more orders and higher advertising income from sellers helped narrow the quarterly loss. Revenue in the previous quarter was 3,712.8 crore rupees, putting current-quarter revenue above its level in the prior three months.
Contribution margin widened to 6.0% of net merchandise value, compared with 4.6% in the first quarter of fiscal 2026-2027, the company said. Meesho attributed the improvement to logistics efficiency and better platform monetization. It said logistics operations became efficient enough to make deliveries about 15% faster year on year. These indicators provide the company’s explanation for improved unit economics, while total expenses remained high at 4,382.3 crore rupees during the quarter. Compared with a year earlier, expenses rose 24%, slower than the 34% growth in revenue from operations.
The number of annual transacting users was 284 million, up 21% year on year, and average annual purchase frequency rose 7% to 10.4 transactions per user, Meesho said. The number of annual transacting sellers also increased 60% to 1.13 million. Gross merchandise value through content-led commerce rose 160% year on year, the company said. The platform is expanding its presence in smaller cities and towns, according to Reuters. Together, these indicators reflect growth in the buyer and seller base and increased activity on the platform during the quarter.
Meesho said NMV growth was 33% year on year when the comparison was aligned with the festive season, over the 90 days before Dussehra. The company said the timing of its Mega Blockbuster Sale shifted from the second quarter last year to the third quarter this year. The difference in sale timing means the two quarters do not cover the same stage of the festive season. As a result, seasonally adjusted NMV growth was 33%, above the reported quarterly growth rate of 23%. The adjustment offers the company’s view of demand over a comparable period of the season, alongside its quarterly financial results.
Chief Executive Vidit Aatrey said the company plans to reinvest some of its efficiency gains to improve consumer and seller experiences and expand emerging growth opportunities. The company did not specify a timing for these investments in the statement. In the market, Meesho shares on the BSE closed down 1.77% at 227.6 rupees per share on October 28, 2026, the day results were announced, Moneycontrol reported. However, Reuters said the stock had risen 26.42% year to date through the same date. The company listed its shares in December last year, Reuters reported.