AceVector Reports Q2 Loss Increase Despite Revenue Growth

AceVector, the parent company of e-commerce platform Snapdeal, reported a net loss of ₹16.2 crore for the second quarter of the 2027 fiscal year. This figure represents a 116% increase compared to the ₹7.5 crore loss recorded in the same period last year. The company released these figures following its recent ₹420 crore initial public offering.

Key Financial Highlights

• Net loss increase: The quarterly loss rose to ₹16.2 crore from ₹7.5 crore year-over-year, though it decreased by 37% from the previous quarter’s ₹25.5 crore.
• Revenue growth: Operating revenue reached ₹151.2 crore, marking a 17% increase compared to the same quarter last year.
• Rising expenses: Total expenses grew 22% year-over-year to ₹168.7 crore, with logistics costs accounting for the largest share at ₹71.4 crore.
• Operational drivers: Snapdeal’s net merchandise value from fashion segments grew 31% to ₹407.6 crore during the first half of the fiscal year.
• Marketing investments: The company attributed higher losses to increased spending on marketing and temporary logistics cost pressures.

Operational Performance and Outlook

For the first half of the fiscal year, AceVector reported a consolidated revenue of ₹285.5 crore, a 17% increase year-over-year. This growth was driven by both Snapdeal and its business unit, Unicommerce. Snapdeal’s net merchandise value for the fashion category, which accounts for 68.4% of its overall value, rose to ₹407.6 crore. The company noted that delivered units increased 16% to 15.05 million.

Management stated that the shift of festive shopping into the third quarter moderated growth in the second quarter. Snapdeal increased marketing investments during the second quarter to acquire new users, a strategy intended to yield results in the upcoming quarter. The company reported that early festive momentum in October showed a 60% year-over-year increase in units.