Meesho saw its loss increase six and a half times to a total of Rs 3,247 crore in FY 2022. Although e-commerce revenue increased 4.5 times in the same time period, expenses increased. leading to a larger hole.
Meesho, specializing in social commerce, reported total revenue of Rs 3,232 crore for the financial year 2022, according to regulatory filings accessed by business intelligence platform Tofler, ET Retail reported. The business reported total revenue of Rs 792 for the fiscal year 2021.
In FY 2022, Meesho’s expenses increased fivefold to a total of Rs 6,607 crore, up from Rs 1,337 crore in FY 2021. The main expenses are advertising, staff salaries and employee benefits. .
Meesho has been vocal about the plans it has implemented to promote employee wellbeing and has launched worker vacations among other initiatives. The business spent Rs 509 billion on employee benefits in fiscal year 2022 compared with in fiscal year 2021 it spent Rs 149 billion, the ET Bureau reported.
To enable small businesses to start selling on its platform and incentivize business growth, Meesho does not charge a commission for sellers’ sales on its e-commerce platform. This sets it apart from its larger competitors, such as Amazon India and Flipkart, where commissions are charged. Instead, businesses make money through advertising.
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