Meesho Registers 33% Y-O-Y Gowth In FY24's Operating Revenue
After Adjusted losses fell 97% to Rs 53 crore for the fiscal year ending March 2024, Meesho, which is funded by SoftBank, claimed to have achieved profitability in June 2023 and seems on track to deliver full fiscal year profitability somewhere in FY25 or FY26.
According to the company’s press release, Meesho’s operating revenue increased by 33% year over year in FY24, to Rs 7,615 crore from Rs 5,735 crore in FY23.
A 36% Increase in orders was the catalyst for the company’s revenue rise. According to the statement, the Bengaluru-based platform’s top categories were infant essentials, beauty & personal care, and home & kitchen.
Meesho stated that organic growth and logistics savings through its own subsidiary, Valmo Logistics, helped it to lower overall expenditures in the most recent fiscal year, even though the company has not disclosed precise expense statistics. This year’s February saw the formal launch of the new vertical.
According to the report, Meesho’s year-over-year losses dropped dramatically, falling 97% to Rs 53 crore in FY24 from Rs 1,569 crore in FY23. Although the loss amount has been modified, it is not evident whichh expenses have been left out. The company emphasized that the adjusted bottom line did not include employee share-based remuneration.
Notably, Meesho also wrapped up its $25 million largest ESOP buyback program in the final month of FY24.
With 14.5 crore distinct annual transactional consumers, Meesho is the third-largest horizontal e-commerce platform in India, behind Flipkart and Amazon. According to the statement, “we continued to be the most downloaded shopping app with over 50 crore downloads.”
Meesho has competition from Amazon India’s marketplace and Flipkart Internet. Flipkart Internet reported a 26.4% increase in its gross sales in FY24, reaching Rs 70,542 crore, whereas Amazon India’s marketplace (B2B) division has not yet released FY24 figures.
In May of this year, Meesho obtained a $275 million tranche as part of a broader investment transaction that comprised primary and secondary components, according to an ET article. Although there are no firm plans for when the company would make its initial public offering (IPO), it is also working on moving its headquarters from the United States to India.
