Fashion ecommerce giant Myntra turns EBITDA positive in the last 2 quarters

Flipkart-owned fashion ecommerce giant Myntra has recently announced its operational profitability for the last two quarters of the calendar year 2023.

The success is marked by a significant increase in its Gross Merchandise Value (GMV), which nearly doubled during this period. The company attributes this success to an expanding customer base, a push towards premium products, and strategic partnerships with both domestic and international brands.

Growth amidst expansion

The platform has seen a 33% increase in its monthly active users, soaring to about 60 million from 45 million in 2021. The surge is backed by Myntra's focus on trend-centric offerings and an expanded share in non-apparel segments.

Furthermore, the company has achieved significant growth in premium fashion segments, including beauty, international brands, and direct-to-consumer (D2C) lines, aiming to cater to the evolving tastes of its premium and Gen-Z customers.

Financial growth 

Despite a 31% increase in losses in FY23, amounting to Rs 782.4 crore, Myntra's operating revenue grew by 25% to Rs 4,375 crore.

“Accomplishing this feat while working in a profitable manner not only speaks volumes about our commitment to solving the country's beauty and fashion needs but is also a testament to the success of our customer-first approach, ability to invest in the right growth engines, and financial resilience, which has held us in good stead,” said Nandita Sinha, CEO of Myntra.

Focused on technological innovation 

Myntra has been at the forefront of integrating technology with fashion retail, offering features like MyFashionGPT, Maya, and AI Stylist, which peaked at nearly 2 million monthly users. The company has a portfolio of over 6,000 brands and delivers to more than 19,000 pin codes across India. It also has over 400 international brands on its online platform.

The company recently acquired India franchise rights for the UK's premier fashion brand, NEXT, to amplify its presence in the Asian market. 

The partnership allowed Myntra's B2B wholesale entity, Myntra Jabong, to distribute NEXT's range of products while holistically scaling NEXT's omni-channel presence in India.