Meesho, a leading Indian ecommerce platform, announced a significant reduction in its net loss for Q2 FY27, alongside robust revenue growth driven by increased sales and cost efficiencies.
- Net loss reduced 68% YoY to ₹132.5 Cr in Q2 FY27
- Revenue increased 34% YoY to ₹4,131.6 Cr
- Expenses rose 24%, improving operating efficiency
What happened
Meesho reported a consolidated net loss of ₹132.5 crore in Q2 FY27, a 68% decline from ₹411.4 crore a year earlier. This improvement was mainly due to higher revenue growth and the absence of substantial exceptional expenses incurred in the prior year quarter. Operating revenue jumped 34% year-over-year and 11% quarter-over-quarter to ₹4,131.6 crore.
The company also recorded other income of ₹127.4 crore, bringing total income to ₹4,259 crore for the quarter, up 31% from the previous year. Despite a 24% increase in total expenses to ₹4,382.3 crore, the growth in earnings outpaced cost increases. Meesho’s loss before exceptional items and tax narrowed by 57% to ₹123.3 crore compared to ₹285.5 crore in Q2 FY26.
Why it matters
The substantial narrowing of losses signals improving financial health for Meesho, indicating its business model may be moving closer to profitability as it scales. The fact that revenue growth is significantly outpacing expense growth suggests that Meesho is becoming more efficient in managing its cost base amid expansion.
Given Meesho’s position as a growing player in India's competitive ecommerce market, these results could enhance investor confidence and provide a stronger foundation for future strategic initiatives and market expansion efforts.
What to watch next
Market participants will be looking to see if Meesho can sustain revenue growth while further controlling expenses to eventually achieve a profitable quarter. Monitoring the absence or recurrence of exceptional expenses and tax charges will also be important to understanding the company’s underlying earnings potential.
Additionally, any updates on Meesho’s business combination strategies or vendor dispute resolutions could affect future financial outcomes. Continued quarter-on-quarter performance tracking will be critical to gauge momentum and operational scaling in India’s fast-evolving ecommerce sector.