Meesho Reports Q2 FY27 Loss Reduction and Revenue Growth

E-commerce platform Meesho reported a 68% reduction in net losses for the second quarter of the 2027 fiscal year, alongside a 34% increase in revenue. The company attributed these financial improvements to operational efficiencies and increased user engagement during the period ending September 30, 2026.

September 2026 Financial Results

For the three months ending in September 2026, Meesho recorded a net loss of Rs 132.44 crore. This figure represents a significant decline from the Rs 411.36 crore loss reported during the same quarter the previous year. Revenue for the quarter reached Rs 4,131.58 crore, up from Rs 3,073.67 crore in the prior-year period. As of September 30, 2026, the company held a cash balance of Rs 7,048 crore.

Operational Performance Metrics

The company reported that its Net Merchandise Value (NMV) grew by 23% year-on-year, reaching Rs 12,911 crore. During the 90 days preceding the Dussehra festival, festive-aligned NMV increased by 33% year-on-year. User data showed that annual transacting users rose by 21% to 284 million, while annual purchase frequency increased by 7% to 10.4 transactions per user. First-time buyers also grew by 16% quarter-on-quarter.

Strategic Focus and AI Integration

Between March and September 2026, Meesho implemented AI-driven software development practices. The company reported a 171% increase in engineering productivity and a 73% rise in experimental projects. Approximately 65% of engineering pods now operate with a single engineer directing AI agents. Additionally, the number of annual transacting sellers grew 60% year-on-year to 1.13 million, with 400,000 sellers participating in the company’s content commerce ecosystem.

Current Market Position

CEO Vidit Aatrey stated that the company is reinvesting efficiency gains into seller and consumer experiences to drive sustainable cash flow. Why it matters: The results highlight a broader trend in emerging market e-commerce where companies are balancing aggressive growth strategies with a pivot toward operational profitability and technological efficiency to ensure long-term viability.