IPO-bound e-commerce major Meesho saw a 34 per cent year-on-year growth in orders at 1.3 billion during the April-December 2024 period, said the company in its FY24 annual report.
It is to be noted that the company had recorded a total of 1.3 billion orders in FY24, ending March 2024.
The company had 187 million unique annual transacting users — a growth of 26 per cent from the year-ago period.
During FY24, the company had reported a 33 per cent jump in operating revenue at ₹7,615 crore, while narrowing its adjusted loss by 97 per cent to ₹53 crore and achieving operating cash flow positivity.
Meesho generated free cash flow of ₹197 crore during fiscal year 2024.
Shipping costs
“We focus on long-term free cash flow (FCF) per share as the north-star metric of our business. We believe that it truly and accurately depicts the health of a business without the added complexity of ignoring different components of shareholder dilution or value creation,” said Vidit Aatrey, founder and CEO, Meesho.
The company did not disclose the financials for the April-December period, saying they are unaudited.
In December, Meesho’s in-house logistics software arm Valmo, which was launched in February 2024, accounted for more than 50 per cent of its orders. The company aggregates smaller logistics service providers that its sellers can use to ship their products.
The company highlighted that the launch of Valmo helped Meesho optimise its forward shipping costs significantly.
Valuation jump
The company, which is in the process of finalising bankers for its upcoming initial public offering (IPO), could be looking at a significant valuation jump from its last fundraise, according to news report.
Meesho has also filed a plea with the National Company Law Tribunal (NCLT), Bengaluru, for a reverse merger of its India unit, Fashnear Technologies, with the US parent, Meesho Inc, paving the way for its IPO. The company plans to file its draft papers in the second half of this year, provided that the NCLT clearance for the reverse flip comes through.
Founded by Aatrey and Sanjeev Barnwal in 2015, Meesho competes with the likes of Flipkart and Amazon India, but unlike its rivals, the company does not charge commissions from sellers. Instead, it generates revenue from advertising and from logistics services offered to sellers on its platform.