Myntra, a leading Indian fashion marketplace owned by Flipkart, reported a net loss of Rs 579.4 crore in the financial year ended March 2026, reversing from a Rs 548.5 crore profit in the prior year. The company's revenue from operations declined 14%, driven largely by a fall in logistics and shipping income.
- Myntra’s net loss stood at Rs 579.4 crore in FY26.
- Revenue from operations fell 14% to Rs 5,242.5 crore.
- Advertising expenses rose 11%, logistics charges declined 17%.
What happened
In the fiscal year ending March 31, 2026, Myntra reported a net loss of Rs 579.4 crore, a significant turnaround from its Rs 548.5 crore profit the previous year. Revenue from operations decreased 14% to Rs 5,242.5 crore amid a steep decline in logistics and shipping service revenue. Total revenue, including other income such as royalties, fell 13% to Rs 5,315.8 crore.
Operating costs increased marginally to Rs 5,757.7 crore. Advertising promotional expenses, the largest cost component, rose by 11% to Rs 2,326.5 crore. Logistics-related expenses dropped by 17% to Rs 1,666.6 crore. Employee benefit costs, including ESOP expenses, totaled Rs 776.9 crore, while payment gateway fees jumped 24% to Rs 174.4 crore.
Why it matters
Myntra’s financial results reflect ongoing challenges in India’s competitive fashion e-commerce sector. The decline in core revenues, particularly from logistics services, highlights pressure on traditional marketplace income streams. Meanwhile, rising advertising costs indicate increased spending to maintain customer acquisition and engagement in a tough market.
The loss also coincides with Flipkart’s major corporate restructuring efforts this year, repatriating its Singapore-based subsidiaries, including Myntra, under its Indian entity. This shift may bring operational synergies but also added integration complexities and transitional expenses, affecting performance results across the group.
What to watch next
Market watchers should monitor Myntra’s ability to diversify and stabilize revenues beyond just marketplace services. The company’s recent divestment in the Virat Kohli-backed D2C brand WROGN and acquisition of a controlling stake in XS Brands Consultancy indicate strategic shifts that could impact future growth.
Additionally, advertising and logistics cost trends will be critical to margins going forward. With Flipkart Group posting an overall consolidated loss of Rs 8,468 crore in FY26, Myntra’s turnaround prospects will closely align with broader group-level operational improvements and strategic execution in India’s maturing e-commerce environment.