Meesho Ltd IPO

We have incurred losses since our inception in 2015. While we were cash flow positive in the six months period ended September 30, 2024, and Fiscals 2025 and 2024, we had Restated loss before exceptional items and tax of Rs.4,332.14 million and Rs.240.38 million in the six months period ended September 30, 2025 and September 30, 2024, and Rs.1,084.29 million, Rs.3,145.33 million and Rs.16,719.02 million in Fiscals 2025, 2024 and 2023, respectively. We had negative cash flows from operating activities for the six months period ended September 30, 2025 and Fiscal 2023. If we are unable to generate adequate revenue and manage our cash flows and expenses, we may continue to incur losses.

If we fail to attract and retain consumers on our platform our business, financial condition, cash flows and results of operations may be adversely impacted.

If we fail to attract and retain sellers on our platform, our business, financial condition, cash flows and results of operations may be adversely affected.

Products sold on Meesho are delivered to consumers through third party logistics partners either through (i) Valmo, our technology platform or (ii) end-to-end logistics partners. Further, we engaged with five end-to-end logistics partners during the six months period ended September 30, 2025. Service interruptions, failures, constraints or inadequate service quality of these logistics' partners could harm our business, financial condition and prospects.

Any disruption to our technology infrastructure or system availability could impair our ability to ensure consistent platform performance and deliver uninterrupted services. Further, if we do not continue to develop our technology stack or introduce new tech enabled tools, or we are not able to keep pace with technological developments, we may not remain competitive and our business, financial condition, cash flows and results of operations could be adversely affected.

A large portion of orders on Meesho are paid using cash on delivery ("CoD"). In the six months period ended September 30, 2025 and September 30, 2024, and Fiscals 2025, 2024 and 2023, 72.00%, 78.51%, 76.95%, 85.39% and 88.71%, respectively, of Shipped Orders were on CoD basis. CoD reduces the rate of successful deliveries and increases operational inefficiencies and risks related to cash handling.

We face intense competition and if we fail to compete effectively, we may lose our market share and our business, financial condition, cash flows and results of operations may be adversely impacted.

The "Meesho" and "Valmo" brands are critical for our growth and success. Any negative publicity or harm to our brand or reputation could materially and adversely affect our business, results of operations, prospects and cash flows.

Our failure to provide adequate support services to our stakeholders could adversely impact our operations.

We have contingent liabilities as per Ind AS 37 - Provisions, Contingent Liabilities and Contingent Assets, and our financial condition and cash flows could be adversely affected if any of these contingent liabilities materialise.