Myntra, the only profitable entity within the Flipkart group last fiscal, swung to a Rs 579 crore net loss in fiscal year 2026 as its revenue dropped 13% year-over-year. This downturn comes amid increased spending on quick commerce and a CEO transition earlier in the year.
- Myntra reports Rs 579 crore net loss in FY26 vs Rs 548 crore profit in FY25
- Revenue declined 13% to Rs 5,243 crore amid faster expense growth
- Quick commerce M-Now expansion increased costs, launched in June 2025
What happened
Myntra, owned by Flipkart, moved from a strong net profit of Rs 548 crore in fiscal 2025 to a net loss of Rs 579 crore in fiscal 2026. Its operating revenue declined by 13% year-over-year to Rs 5,243 crore, after achieving 18% revenue growth the prior year. This financial performance was disclosed through filings with the Registrar of Companies.
In April 2026, Myntra appointed Sharon Pais as CEO, succeeding Nandita Sinha who led the company for four years. Concurrently, the company accelerated its quick commerce offering, M-Now, launched in June 2025. The service now operates in over 12 major Indian cities and contributed about 10% of Myntra’s total orders by late 2025, but this growth came with increased expenses.
Why it matters
Myntra’s decline is significant as it was the only profitable arm within the Flipkart group in FY25, underscoring operational pressures amidst intensifying competition in India’s online fashion and quick commerce sectors. The shift to quick commerce has necessitated heavy investment, impacting profitability despite steady order volumes.
While Flipkart Internet Pvt Ltd saw an 18% increase in consolidated revenue to Rs 1,45,880 crore in FY26, driven largely by its wholesale business, Myntra’s results highlight the challenges standalone marketplace models face. The company’s financial difficulties come at a time when bigger e-commerce players, including Flipkart’s marketplace segment, are also witnessing revenue setbacks and higher losses.
What to watch next
Market participants will closely monitor Myntra’s ability to streamline expenses related to quick commerce and regain sales momentum under new leadership. The further integration of M-Now and its scaling strategy across Indian metro and tier-2 cities will be key to whether this investment pays off in the medium term.
Additionally, as Flipkart continues to consolidate its business under Flipkart Internet Pvt Ltd post-redomiciliation to India, observers will watch how Myntra fits into the group’s broader e-commerce strategy, especially with the marketplace segment’s reported revenue decline and increasing losses in FY26.