**Market Brief: Meesho Q3 FY26 Performance** **Financial Snapshot** Meesho has reported a sharp widening in net losses for Q3 FY26, reaching **₹491 crore** compared to **₹37 crore** in the same period last year. This **13-fold** increase in deficit comes despite a strong **31%** year-on-year surge in revenue from operations, which stood at **₹3,518 crore**. **Expense Surge & Strategic Spending** The widening loss is primarily attributed to a **44%** spike in total expenses, which hit **₹4,071 crore**. Management cited aggressive investments in three key areas: * **User Acquisition:** Marketing spends nearly doubled as the company prioritized expanding its customer base. * **Logistics (Valmo):** Heavy capital was deployed to scale its in-house logistics network, Valmo, leading to temporary inefficiencies. * **Festive Season Push:** Higher advertising costs were incurred to capture volume during the critical festive sales window. **Operational Highlights** Despite the bottom-line pressure, operational metrics showed robust growth. Annual Transacting Users (ATUs) grew **34%** to **251 million**, while Net Merchandise Value (NMV) rose **26%** to **₹10,995 crore**. Order volumes also saw a healthy uptick of **36%**. **Liquidity & Market Context** Following its public listing on **December 10, 2025**, Meesho maintains a solid liquidity position with a cash balance of **₹7,277 crore**, bolstered by **₹4,088 crore** raised via its IPO. Management reiterated its strategy to prioritize long-term "flywheel health" over near-term profitability, aiming to normalize logistics costs in the coming quarters.