Myntra Spends ₹2,326 Crore on Advertising as FY26 Revenue Falls

Myntra spent ₹2,326.5 crore on advertising in the financial year 2025–26 (FY26), equivalent to approximately 44% of its ₹5,242.5 crore revenue from operations. The heavy marketing expenditure came as the Flipkart-owned fashion and lifestyle platform reported a net loss of ₹579.4 crore, reversing a net profit of ₹548.5 crore in FY25.

According to financial statements filed with the Registrar of Companies, Myntra’s advertising expenditure increased 10.5% year-on-year. Meanwhile, operating revenue declined 13.5% from ₹6,063.8 crore in FY25, partly because of a sharp fall in logistics and shipping revenue.

Advertising Becomes a Major Cost for Myntra

Advertising was Myntra’s largest expense component in FY26, accounting for approximately 40% of its total expenses of ₹5,757.7 crore. The spending reflects the competitive nature of India’s online fashion market, where platforms invest in campaigns, brand partnerships, sale events and customer acquisition to attract shoppers.

However, Myntra’s advertising expenditure was approximately 1.9 times the ₹1,236.4 crore it earned from advertising services during the year. These figures represent different activities: advertising expenditure is the platform’s cost of promoting its business, while advertising-services revenue comes from brands and sellers paying for promotional visibility on Myntra.

Advertising Revenue Grows 35%

Myntra’s advertising-services revenue increased 35.2% to ₹1,236.4 crore in FY26, compared with ₹914.5 crore in FY25. This suggests that advertising has become an increasingly important source of income alongside marketplace commissions and other services.

Marketplace and collection services generated ₹2,657.3 crore, up 3% from ₹2,580.2 crore in the previous financial year. Excluding logistics and shipping services, revenue from operations rose approximately 12% to ₹4,123.3 crore.

The figures highlight the platform’s opportunity to monetise its relationships with fashion brands and sellers through paid visibility, while continuing to generate income from transactions.

Logistics Revenue Falls Sharply

The decline in total operating revenue was driven largely by logistics and shipping services. Revenue from this segment fell to ₹1,119.2 crore in FY26 from ₹2,390.5 crore in FY25.

Other operating revenue increased 28.6% to ₹229.6 crore. Nevertheless, growth in advertising and marketplace services was not enough to offset the decline in logistics revenue.

The company’s total expenses remained broadly stable, rising slightly from ₹5,726 crore to ₹5,757.7 crore. With lower operating revenue and a higher advertising bill, profitability came under pressure.

What Myntra’s Numbers Mean for Fashion E-commerce

Myntra’s FY26 performance illustrates a key challenge for online fashion platforms: spending heavily to maintain customer attention does not automatically translate into higher revenue or profit.

Advertising can help a platform attract shoppers, promote brands and support sales events. But the long-term economics depend on whether that spending generates repeat purchases, stronger marketplace income and sustainable margins.

Myntra’s 35.2% growth in advertising-services revenue is a positive indicator for its advertising business. However, the decline in total operating revenue and the return to a net loss show that the broader business remains under pressure.

For a closer look at the financial results, read this report on Myntra’s FY26 revenue and advertising income.

The Road Ahead

Myntra’s next challenge will be to convert its marketing investments and growing advertising income into stronger overall financial performance. Improving logistics-related revenue, increasing marketplace monetisation and managing customer-acquisition costs could all influence its path back to profitability.

For India’s fashion e-commerce sector, Myntra’s FY26 results offer a reminder that scale and visibility matter—but so do revenue quality, operating efficiency and the ability to turn customer engagement into sustainable earnings.