Nykaa vs Meesho: Comparing Financials and Share Price Momentum

India’s e-commerce industry is expanding quickly, and 2 companies, Nykaa and Meesho, stand out with very different but fast-growing models. For investors, comparing how each business operates, earns revenue, and manages profitability is key to understanding their long-term potential.

About Meesho

Business Model

Meesho runs a large-scale marketplace connecting buyers, small sellers, logistics partners, and content creators. Its core attraction is a zero-commission structure, allowing merchants to sell products without traditional platform fees.

The company uses Valmo, its asset-light logistics ecosystem, to manage deliveries, returns, and fulfilment. Meesho has built a strong presence in Tier-2 and smaller towns, becoming India’s largest platform by Annual Transacting Users (ATUs) as of September 2025.

Revenue Model

Nearly 100% of Meesho’s revenue comes from marketplace services such as logistics, returns management, ads, and seller tools, not commissions. New initiatives like financial services and local commerce contributions remain small.

Growth Plans

Meesho aims to strengthen:

• Content-led commerce
• Meesho Mall to attract brands
• Affordable financial services through partners
• Daily essentials category
• AI-driven personalisation and logistics

Heavy investments in cloud and AI are planned through FY27–28.

About Nykaa

Business Model

Nykaa blends online and offline retail through its apps, website, and 187+ stores across India. It focuses on beauty, personal care, and fashion, along with growing private-label brands.

The beauty business uses an inventory-led model, ensuring authenticity and quality, while fashion operates mostly as a marketplace.

Key Strengths

• One of India’s largest curators of global beauty brands
• Strong offline expansion plans
• 27% YoY growth in annual transacting customers
• Over 30% share in India’s omnichannel beauty retail market

Revenue Model

Beauty drives most of the revenue, 73% of GMV and 84.3% of FY24 revenue. Nykaa’s own brands, such as Dot & Key, deliver high margins.

Growth Plans

Nykaa plans to:

• Expand to 400+ stores by FY28
• Grow luxury beauty and Korean skincare
• Scale high-margin owned brands
• Improve delivery via regional fulfilment centres
• Expand internationally in the GCC under “Nysaa”

Financial Comparison: Nykaa vs Meesho

Revenue Growth (FY23–H1FY26)

Meesho has grown faster due to strong order volumes and higher monetisation from logistics and advertising. Nykaa’s growth remains strong with rising demand in beauty and a recovery in fashion.

Profitability Trends

Meesho

• Losses significantly reduced from FY23 to FY25 due to scale benefits and lower ad expenses.
• Losses widened again in H1FY26 due to bigger marketing, logistics, and tech spending.
• Net losses are still high due to exceptional charges like ESOP expenses and tax settlements.

Nykaa

• Shows consistent profitability, with EBITDA growing from ₹2,560 m in FY23 to ₹4,739 m in FY25.
• Profit margins continue to improve due to better cost efficiency, strong BPC margins, and recovery in fashion.

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Risks to Watch

• Economic slowdowns may reduce online spending.
• High competition from Amazon, Flipkart, quick commerce, and new D2C brands.
• Logistics and tech risks from operational disruptions.
• Unexpected expenses (tax, ESOPs) may distort profitability.
• Frequent regulatory changes in e-commerce and data policy.

Nykaa vs Meesho: Comparing Share Price Movement

Fsn E-Commerce Ventures share price (NSE: NYKAA) closed at ₹251.35, up 0.72% on 12 December 2025. The stock is trading closer to its 52-week high of ₹273.22, well above the 52-week low of ₹154.90. Over the past six months, Nykaa has gained 29.24%, rising by ₹56.86, and over the past year, it has delivered a strong 48.03% jump, increasing by ₹81.55, reflecting improved investor sentiment and steady business performance.

Meesho share price (NSE: MEESHO) ended the session on 12 December 2025 at ₹169.12, down 1.30% or ₹2.17 by market close at 3:59 pm. During the day, the stock traded between a low of ₹153.89 and a high of ₹169.12, which is also near the upper end of its 52-week range of ₹153.89–₹177.49. Meesho saw a strong trading volume of 102.19 million shares, reflecting high market participation, although bid–ask data was not displayed.

Conclusion

Both companies offer opportunities, but the choice depends on an investor’s risk appetite and time horizon.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.