Yes Madam Revenue Growth and Financial Insights
Home salon services platform Yes Madam has witnessed its operating revenue surge, reaching Rs 195 crore in FY26, marking a significant increase for the second consecutive year and achieving over four times its revenue in just two years. However, the company has reported a net loss as it grappled with increased employee and advertising expenses during FY26. The operating revenue escalated to 2.07 times compared to Rs 94 crore in FY25, as per the financial statements submitted to the Registrar of Companies (RoC).
Established in 2016, Yes Madam, based in Noida, provides at-home beauty and wellness services, encompassing haircuts, facials, waxing, and massages through its application and website. The introduction of instant salon and spa services has also allowed customers to access at-home services within a swift 30-minute window.
Revenue Breakdown and Business Model
Revenue derived from service provisions, featuring commission income accrued as an intermediary between service professionals and customers, alongside subscription and royalty earnings, constituted 51% of Yes Madam’s operating revenue. This segment witnessed notable growth, expanding 2.3 times to achieve the Rs 100 crore milestone in FY26. Additionally, revenue from product sales experienced a 90% increase, rising to Rs 95 crore from Rs 50 crore during the same period, accounting for the remaining 49% of the operating revenue.
Expenditure Insights
On the expenditure front, advertising and promotional costs emerged as the primary spending area for the company, escalating 2.31 times to Rs 67 crore in the last fiscal year from Rs 29 crore in FY25. The costs related to materials consumed also saw a notable rise of 90.6%, amounting to Rs 61 crore. Employee benefit expenses more than doubled to Rs 43 crore, while freight costs surged 164.2% to Rs 4.28 crore during the same timeframe.
Additional expenses, including those pertaining to information technology, rent, and legal and professional fees, collectively totalled Rs 27.7 crore in FY26. Consequently, Yes Madam’s overall expenditures surged 2.21 times to Rs 203 crore in FY26 from Rs 92 crore in FY25.
Financial Performance Analysis
Yes Madam reported a net loss of Rs 7.75 crore in FY26, a stark contrast to the net profit of Rs 1.83 crore in FY25, attributed to expenses outpacing revenue growth. The EBITDA margin saw a decline to -3.89% from 2.18% in the same period. Notably, on a per unit basis, the company spent Rs 1.04 to generate each rupee of operating revenue in FY26, compared to Rs 0.98 in FY25.
At the close of March 2026, the organisation held cash and bank reserves of Rs 2.03 crore, while total current assets rose to Rs 32.34 crore, an increase from Rs 21.41 crore the previous year.
Funding and Valuation Developments
Yes Madam operated on a bootstrapped model for nearly a decade before securing its initial institutional funding of Rs 50 crore from Info Edge, achieving a valuation of Rs 750 crore earlier this year. Recent media reports indicate the company is in discussions to raise Rs 250 crore from investors, including Xponentia Capital Partners and Riverwalk Holdings, aiming for a valuation close to Rs 1,900 crore.
In its official press release, Yes Madam announced an 11% quarter-on-quarter revenue growth to Rs 79.4 crore in Q2 FY27, while net transaction value (NTV) improved by 12% to Rs 165.8 crore. Year-on-year, revenue and NTV showed impressive growth figures of 69% and 75%, respectively. Over the past two years, revenue has increased 3.9 times, with NTV growing 3.5 times, pushing their annualised run rates to Rs 402 crore and Rs 836 crore, respectively.