Stocks
Invest in Stocks
Invest in stocks, ETFs, IPOs with fast orders. Track returns on your stock holdings and view real-time P&L on your positions.
F&O
Meesho IPO
Meesho
Meesho IPO Details
| Bidding Dates | Min. Investment | Lot Size | Price Range |
|---|---|---|---|
| To be announced | -- | -- | -- |
| Issue Size | IPO Doc |
|---|---|
| 0 | DRHP PDF |
About Meesho
Founded in
2015
MD/CEO
Mr Vidit Aatrey
Parent organisation
Meesho
Strengths & Financials of Meesho
Strengths
Risks
Meesho states that its platform is built on technology that supports scalability, cost efficiency, and improved performance. The company claims to follow a technology-led problem-solving approach instead of relying on manual processes. It has integrated Generative Artificial Intelligence (GenAI) tools into its engineering systems, helping developers create software more efficiently, accelerate development, and reduce deployment time. The company states that GenAI features are also embedded across different business functions to enhance productivity and operational scale.
Meesho claims that its mobile app is designed to be simple, intuitive, and tailored for Indian users. The app supports 10 languages, including English, Hindi, Tamil, Bengali, and Gujarati, among others. The company states that to make product discovery easier. The app offers a multi-modal search feature, allowing users to search using text, images, or voice inputs, helping capture user intent more accurately.
The company claims to have developed an AI model called GeoIndia Large Language Model (LLM), designed to interpret unstructured Indian addresses and convert them into accurate geographic coordinates. Meesho also claims that it has created AI-powered advertising tools that simplify ad campaign management for sellers. These tools automatically display relevant products to the right audience, enabling sellers to advertise effectively without needing advanced skills or large budgets
Meesho states that it uses data from every interaction on its platform to strengthen its AI and ML models. It claims to have built an ML platform named BharatMLStack to improve scalability, efficiency, and speed. The company further states that this platform supports a range of applications such as real-time personalisation, geo-encoding, dynamic pricing, and automation. In FY25, BharatMLStack processed around 1.91 petabytes of data daily, enabled 66.9 trillion feature retrievals, and made 3.12 trillion real-time predictions at its peak.
The company claims that it operates as a value-focused platform offering “Everyday Low Prices” to consumers, allowing them to access affordable products without depending on temporary discounts or flash sales. Its zero-commission model for sellers and cost-efficient fulfilment process help reduce sellers’ expenses. The company further states that this structure allows sellers to offer a broad range of products at competitive prices, attracting both buyers and sellers to the platform.
Meesho claims to follow an asset-light operating structure, meaning it does not manufacture or sell private-label products, hold inventory, or own logistics assets. The company says that this approach makes the business more capital-efficient compared to traditional retail or e-commerce models that depend on warehouses, owned stock, or in-house logistics.
The company has witnessed a consistent increase in revenue from operations. It increased from Rs 5,734.52 crore in FY23 to Rs 7,615.15 crore in FY24 and Rs 9,389.90 crore in FY25.
The company has witnessed recurring losses since its inception in FY15. It recorded losses of Rs 3,941.70 crore in FY25, Rs 327.64 crore in FY24 and Rs 1,671.90 crore in FY23. The reason for these losses was due to certain tax amounts and additional costs, says the company.
The company reported negative cash flows from operating activities amounting to Rs 1,268.49 crore in the three months ending June 30, 2025 and Rs 2,308.19 crore in FY23. These negative cash flows were due to some income tax payments. If cash outflows continue to exceed inflows, the company may face liquidity challenges in the future.
Although Meesho’s customer base has been growing, there is no certainty that this trend will continue. Customers may switch to other platforms that offer similar products at better prices. A decline in customer numbers could also lead to fewer sellers on the platform, which would reduce the range of available products and make the platform less attractive. Lower customer engagement or retention may require the company to invest more in marketing and promotions, which could negatively impact its revenue, cash flow, and overall profitability.
The number of sellers may decline if Meesho fails to implement its seller strategies effectively, cannot maintain a low-cost platform, or faces technical problems that affect sellers’ interactions with buyers. Any sudden changes in sellers’ financial health or business priorities could also lead to attrition, which could negatively impact Meesho’s operations, liquidity, and future performance.
Meesho relies on third-party logistics partners to deliver products to customers – either through its own logistics platform, Valmo, or through other end-to-end delivery partners. As of June 30, 2025, the company worked with five such partners. Any service disruptions, failures, or performance issues from these partners could adversely affect Meesho’s business operations and financial position.
Any breakdown or disruption in Meesho’s technology systems could affect the platform’s performance, leading to service interruptions. If the company fails to upgrade its technology or introduce new digital tools in line with market developments, it may lose its competitive edge. Such shortcomings could harm its operations, profitability, and financial health.
A major share of Meesho’s orders are made through Cash on Delivery (CoD). During the three months ended June 30, 2025, CoD accounted for 75.09 percent of total shipped orders, 76.95 percent in FY25, 85.39 percent in FY24, and 88.71 percent in FY23. High reliance on CoD can lead to lower delivery success rates, increased operational inefficiencies, and higher risks associated with handling cash.
Meesho has undertaken several corporate reorganisations. For instance, in May 2025, the National Company Law Tribunal, Bengaluru Bench, approved the demerger of its E-commerce and Grocery units into separate entities, as well as the amalgamation of Meesho Inc. with the parent company. While such restructuring is aimed at improving efficiency, it involves one-time costs, compliance requirements, and potential tax liabilities. The company states that such reorganisations may happen in the future, which could negatively affect the company’s finances.
A large portion of Meesho’s sellers are concentrated in specific regions. Gujarat accounted for 16.79 percent of annual transacting sellers in the 12 months ended June 30, 2025; 16.95 percent in FY25; 18.72 percent in FY24; and 20.17 percent in FY23. Uttar Pradesh accounted for 15.56 percent of annual transacting sellers in the 12 months ended June 30, 2025; 15.65 percent in FY25; 14.37 percent in FY24; and 12.73 percent in FY23. Delhi accounted for 14.79 percent of annual transacting sellers in the 12 months ended June 30, 2025, 15.33 percent in FY25, 17.09 percent in FY24, and 16.20 percent in FY23. Any adverse developments in these regions could hurt the company’s operations and financial condition.
The company, its directors, key managerial personnel, senior management personnel, and promoters are involved in various ongoing legal cases, including criminal and tax-related proceedings. Any adverse judgment in any of these cases could be detrimental to the company’s business prospects.
Meesho’s business is affected by seasonal trends, festivals, and regional holidays in India, which can cause fluctuations in order volumes. Demand is particularly high during festivals like Diwali. Inability to address this demand fluctuation could hurt its business and finances.
As of June 30, 2025, the company reported contingent liabilities amounting to Rs 710.43 crore. If any of these contingent liabilities materialise, it could harm the company’s financial performance.
Meesho Financials
*All values are in Rs. Cr
No Graph Data To Display