Meesho’s latest earnings call suggests the company is repositioning itself from a scale-driven marketplace into logistics-led infrastructure that controls delivery outcomes. At the centre of this shift is Valmo, its in-house logistics orchestration system, which uses software to decide routing, logistics partners, and delivery outcomes without owning trucks or warehouses.
Notably, Meesho has made clear that logistics will not function as a profit centre. “We tend to keep the logistics margin in a certain range,” said Dhiresh Bansal, Chief Financial Officer (CFO) at Meesho, on the Q3FY26 earnings call, adding that “anything we gain in terms of efficiencies, we have historically and expect to pass on in the future as well”. In effect, Bansal is saying that logistics cost savings will not be used to boost margins, but passed through to Valmo instead.
Moreover, he said that the company expects contribution margin expansion to come “from monetization through other forms like ads and other services”. However, control remains firmly in software.
“Even today in Valmo, the entire software stack end-to-end is our own,” said Vidit Aatrey, Chairman, Founder and Chief Executive Officer (CEO) of Meesho. “The entire technology is our own because that’s where we believe the majority of experience value and better pricing lives,” Aatrey added.
Additionally, Meesho’s approach places Valmo in the same category as logistics orchestration platforms like Shiprocket, which sit above multiple courier partners and optimise delivery through software rather than asset ownership.
The difference is structural: Valmo remains captive to Meesho’s marketplace, while Shiprocket operates as a standalone platform serving external merchants. This concentrates logistics control within Meesho’s own commerce stack, reshaping how power and efficiency are distributed across the value-commerce ecosystem.
Losses driven by logistics scale-up
Meesho reported a net loss of around Rs. 490 crore in Q3FY26. On the earnings call, Aatrey linked the pressure on contribution margins to a rapid logistics scale-up of Valmo following a key logistics partner’s exit.
“Some of these investments have come because of Valmo scale up in a very short period after one of our partners ceased to be in business and there was some bit of third-party logistics consolidation,” he said.
“We had to scale up some capacity in Valmo at a very fast pace, which came at some costs,” Aatrey said while discussing the Q3FY26 quarter’s contribution margin.
Why absorbing logistics costs increased reported losses
In its shareholders’ letter, Meesho explained why it did not raise order fulfilment charges in Q2 and Q3FY26 despite higher logistics costs. The company described the spike as temporary. “This was a rapid scale-up cost which is temporary, not structural inflation,” the letter said, framing the decision as “platform trust over…
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