Myntra Reports Rs 579.4 Crore Loss as FY26 Revenue Falls 13.5%

Sheetal Shah
October 20, 2026

Myntra, the fashion e-commerce platform owned by Flipkart, reported a 13.5% year-on-year decline in operating revenue to Rs 5,242.5 crore in FY26, compared with Rs 6,063.8 crore in FY25. The company also swung to a net loss of Rs 579.4 crore from a net profit of Rs 548.5 crore in the previous fiscal year, largely due to restructuring costs associated with its reverse flip from Singapore to India.

According to financial statements sourced from the Registrar of Companies (RoC), the decline in operating revenue was primarily driven by a 53.2% drop in revenue from logistics services. Higher advertising expenses and deferred tax costs also weighed on the company’s bottom line.

Myntra’s Revenue Breakdown in FY26

Myntra generates revenue through marketplace services, logistics, advertising and other operating services. Marketplace services remained its largest revenue stream, contributing 50.7% of operating revenue during FY26.

Revenue from marketplace services grew 3% to Rs 2,657.3 crore in FY26. The segment earns fees and commissions from sellers using Myntra’s online marketplace.

Revenue from logistics services, which includes delivery and related services, declined 53.2% to Rs 1,119.2 crore from Rs 2,390.5 crore in FY25. This segment accounted for the largest share of the overall operating revenue decline.

Advertising services recorded growth during the year. Revenue from this segment increased 35.2% to Rs 1,236.4 crore in FY26 from Rs 914.5 crore a year earlier, contributing 23.6% of operating revenue. Myntra earns advertising fees from brands and sellers promoting their products on the platform.

Revenue from other operating services rose to Rs 229.6 crore in FY26 from Rs 178.6 crore in FY25. This category includes collections from marketing services, liabilities written back during the year and incentives from vendors.

Myntra also generated Rs 73.3 crore in non-operating revenue, primarily from royalty income. This took its total revenue to Rs 5,315.8 crore in FY26.

Advertising Remains Myntra’s Largest Cost Component

Advertising continued to be Myntra’s largest cost component in FY26. The company spent Rs 2,326.5 crore on advertising, an increase of 10.5%, accounting for 41% of its overall costs.

The company’s advertising expenses were approximately 1.9 times its advertising revenue of Rs 1,236.4 crore. Although advertising income grew 35.2% during the year, the gap between advertising expenses and revenue remained substantial.

Logistics charges, which cover order delivery and fulfilment, declined 16.6% to Rs 1,666.6 crore in FY26 from Rs 1,999.2 crore in FY25.

Employee benefit expenses increased 4% to Rs 777 crore, including Rs 235.4 crore in employee stock ownership plan (ESOP) costs. IT expenses stood at Rs 323.8 crore, while payment gateway charges amounted to Rs 174.4 crore during the fiscal year.

Other overheads, including finance costs, legal and professional fees, and after-sales services, added Rs 455.5 crore to the company’s total expenses.

Overall, Myntra’s total expenses remained largely stable at Rs 5,757.7 crore in FY26, compared with Rs 5,726 crore in FY25.

Myntra Reports Net Loss of Rs 579.4 Crore

Myntra reported a net loss of Rs 579.4 crore in FY26, compared with a net profit of Rs 548.5 crore in FY25.

The decline in logistics revenue affected overall operating revenue, while Rs 137.5 crore in deferred tax and higher advertising expenses added pressure on profitability. Restructuring costs linked to the company’s reverse flip from Singapore to India also contributed to the reported loss.

The company’s return on capital employed (ROCE) deteriorated to -23.03%, while its EBITDA margin stood at -7.09%. Myntra reported an EBITDA loss of Rs 435 crore in FY26.

On a unit basis, the company spent Rs 1.1 to earn every rupee of revenue during the fiscal year.

Cash Position and Business Performance

The Bengaluru-based company reported cash and bank balances of Rs 21.5 crore in FY26, while its current assets were valued at Rs 4,941 crore.

Despite growth in advertising revenue, marketplace services grew by just 3% during the year. The figures highlight the challenges facing Myntra in a competitive fashion e-commerce market, where marketplace revenue growth remains limited and advertising costs continue to be significant.

The company’s financial performance also reflects the difference between revenue generated from advertising services and the amount spent on advertising. While advertising revenue increased during FY26, the segment’s income remained considerably below the company’s advertising expenditure.