Meesho revenue jumps 33% to Rs 7,615 Cr, cuts losses by 97% in FY24
Driven by a 36% surge in order volume, the company saw its high demand in categories like home & kitchen, beauty & personal care, and baby essentials.
Bengaluru-based ecommerce platform has reported a 33% growth in revenue from its operations for the fiscal year 2023-24, reaching Rs 7,615 crore compared to Rs 5,735 crore in the previous year.
Driven by a 36% surge in order volume, the company saw its high demand in categories like home and kitchen, beauty and personal care, and baby essentials.
The Bengaluru-based online marketplace narrowed its adjusted losses by 97% to Rs 53 crore in FY24 from Rs 1,569 crore in the previous fiscal. The firm attributed this improvement to organic growth and operational efficiencies, particularly in logistics, bolstered by its own logistics arm, Valmo Logistics, which was launched in February 2023.
The adjusted loss figure excludes non-operational costs, including expenses related to employee stock ownership plans (ESOP), asset impairments, and other extraordinary items.
Meesho completed its largest ESOP buyback programme worth Rs 200 crore ($25 million) in March. The SoftBank-backed platform, which claims to be the third-largest horizontal ecommerce player in India with 14.5 crore unique annual transacting users, appears set to achieve profitability in the coming fiscal years.
The firm has improved operational efficiencies in its logistics processes through initiatives like the 'Scan and Pack' programme, which reduces errors by 42% by requiring sellers to capture product images before dispatch.
It claims that the launch of Valmo supports regional logistics partners, reduces shipping costs, and enhances forward shipping efficiency.
Founded in 2015, Meesho last raised $275 million in a funding round via primary and secondary share sale in May. According to media reports, the fundraise was part of a bigger $500 million to $600 million round, which could value the company at $3.9 billion.
The company's recent flagship sale, 'Meesho Mega Blockbuster Sale 2024', saw a 40% YoY increase in orders, 145 crore customer visits, 3 crore app downloads, and 45% growth in new ecommerce shoppers.
Edited by Megha Reddy