New Delhi: Softbank-backed e-commerce firm Meesho has turned profitable on a consolidated basis in July, supported by significant uptick in order volumes and revenue, a senior company official said Monday.
Meesho Founder and CEO Vidit Aatrey told PTI that a 43 per cent surge in order volumes and 54 per cent increase in revenue in the last 12 month contributed to the profitability of the company.
“We are humbled and proud to witness Meesho’s bold aspiration of becoming profitable come to fruition. As the first horizontal e-commerce platform to achieve profitability in India, we remain committed to driving sustainable growth, democratizing e-commerce for everyone and unlocking the true potential of India’s heartland,” Aatrey said.
He said that 85 per cent of the orders have come from returning users in the last 12 month which reflects the customer retention rate of the platform.
Without disclosing actual financial details, he said that the company has attained profitability at a consolidated PAT level, encompassing all costs (including ESOP), across all its divisions and categories.
“The company has attained profitability at a consolidated PAT level, encompassing all costs (including ESOP), across all its divisions and categories. Setting out on its ambitious path to profitability last year, Meesho accomplished this industry-first feat well ahead of the expected timeline, as of July’23,” Aatrey said.
He said Meesho remains the most downloaded shopping app in India and has served over 140 million unique transacting users in the last 12 months.
“Meesho’s continues to gain momentum, with its current run rate soaring to an impressive 3.5 million orders per day. What sets Meesho apart as a true industry leader is its unparalleled capital efficiency, attributed to the structural advantage of its innovative and asset-lite business model,” Aatrey said.
PTI
