Meesho has achieved its maiden full-quarter profitability during the second quarter of the fiscal year 2024 and has sustained this momentum, marking a significant milestone. The company’s positive trajectory extended beyond this period, carrying into the festive season, witnessing continued growth across its varied categories. A Meesho spokesperson highlighted this accomplishment, stating, “This is an impressive feat as Meesho became the first horizontal e-commerce company to turn profitable in India.”
The company disclosed that it secured its inaugural profit in July, showcasing resilience and progress. Meesho reported a consolidated revenue from operations of Rs 3,521 crore, marking a 37% year-on-year increase. Concurrently, losses for the period notably decreased to Rs 141 crore, reflecting a substantial 90% year-on-year decline in the first half of the fiscal year 2024.
In the previous financial year, Meesho demonstrated a remarkable 77% surge in revenue from operations, reaching Rs 5,735 crore. The company attributed its business growth to several factors, including the surge in shopping app downloads in India during 2022 and 2023, an increase in transaction frequency among existing customers, diversification of its category mix, and a strategic focus on enhancing monetization through various value-added seller services.
Meesho’s success was further accentuated by data from data.ai, affirming a staggering 14.5 crore app downloads in India during 2023. “We also crossed the momentous milestone of 500 million downloads in H1, FY 2023-24. Our growth in downloads is now largely coming from organic word-of-mouth led momentum benefitting from the wide selection and low prices on the platform,” the company remarked, underlining the organic growth driven by positive user experiences and competitive pricing.
