Meesho's Valmo logistics arm hits growth plateau

Meesho, an e-commerce platform, has been trying to handle more of its deliveries through its own logistics arm called Valmo.

At first, Valmo's share of deliveries grew quickly, but now it has stayed at around 50% for the last few quarters.

This means Meesho is not increasing its in-house deliveries as much as expected.

Valmo's approach is different from traditional logistics companies because it uses small local delivery partners instead of owning many trucks and sorting hubs.

Despite the plateau, Meesho's overall financial performance has improved, with lower losses and higher cash reserves.

This situation also affects other logistics companies like Delhivery and Shadowfax, which rely on Meesho for a significant portion of their revenue.