Noida-based home salon platform Yes Madam more than doubled its operating revenue to Rs 195 crore in FY26, but higher spending on advertising, employees and materials pushed the company into a net loss during the year.
Revenue from operations increased 2.07 times from Rs 94 crore in FY25, according to financial statements filed with RoC. The company had reported a net profit of Rs 1.83 crore in FY25.
Latest numbers show that revenue has continued to grow rapidly, but expenses have increased at a faster pace. Total expenditure rose 2.21 times to Rs 203 crore in FY26 from Rs 92 crore a year earlier, resulting in a net loss of Rs 7.75 crore.
Revenue Growth Slows Profit
Services remained the larger contributor to Yes Madam revenue during FY26, accounting for about 51% of operating revenue. This segment includes commission income from services provided through the platform, along with subscription and royalty income.
Revenue from services rose around 2.3 times to about Rs 100 crore during the year. Product sales contributed the remaining 49% of operating revenue and increased 90% to Rs 95 crore from Rs 50 crore in FY25.
The rise in revenue came alongside a sharp increase in customer acquisition and operating costs. Advertising and promotional spending more than doubled to Rs 67 crore from Rs 29 crore, making it the largest individual expense reported by the company.
Costs Rise Across Business
The cost of materials consumed increased 90.6% to Rs 61 crore in FY26. Employee benefit expenses also more than doubled to Rs 43 crore, while freight costs increased 164.2% to Rs 4.28 crore.
Other expenses, including technology, rent and legal and professional charges, added another Rs 27.7 crore. With these costs rising across several categories, the company moved from a profit in FY25 to a loss in FY26.
The EBITDA margin also declined to minus 3.89% from 2.18% in the previous financial year. On a unit basis, Yes Madam spent Rs 1.04 to generate every rupee of operating revenue in FY26, compared with Rs 0.98 in FY25.
About Yes Madam Business
Yes Madam was founded in 2016 and operates from Noida. The platform connects customers with beauty and wellness professionals for services such as haircuts, facials, waxing and massages at home. It has also introduced instant salon and spa bookings that allow customers to request services within 30 minutes.
Brand remained bootstrapped for several years before raising its first institutional capital. Earlier this year, Info Edge invested Rs 50 crore in Yes Madam at a reported valuation of Rs 750 crore.
The company is also reported to be in talks to raise another Rs 250 crore from Xponentia Capital Partners, Riverwalk Holdings and other investors at a valuation of around Rs 1,900 crore. These discussions have not been presented as a completed funding round.
FY27 Q2 Growth
Yes Madam has reported further growth in the second quarter of FY27. According to a company press release, revenue increased 11% quarter-on-quarter to Rs 79.4 crore, while net transaction value rose 12% to Rs 165.8 crore.
On a year-on-year basis, revenue and NTV increased 69% and 75%, respectively. Over two years, revenue increased 3.9 times, while NTV grew 3.5 times. The company said this translates into annualised run rates of Rs 402 crore for revenue and Rs 836 crore for NTV.
At the end of March 2026, Yes Madam had Rs 2.03 crore in cash and bank balances. Its total current assets stood at Rs 32.34 crore, compared with Rs 21.41 crore a year earlier.
Yes Madam vs Urban Company
Yes Madam and Urban Company both operate in the home-services market, with beauty and wellness forming an important part of their businesses. Yes Madam was founded in 2016 by Mayank Arya, Aditya Arya and Akanksha Vishnoi and is based in Noida. Its platform primarily focuses on salon and wellness services delivered at home.
Urban Company, earlier known as UrbanClap, was founded in November 2014 by Abhiraj Bhal, Varun Khaitan and Raghav Chandra. It operates a broader technology-enabled home-services marketplace covering beauty and spa as well as cleaning, repairs and other household services.
The two businesses therefore overlap in at-home beauty services but differ in scale and category breadth. Urban Company uses a broader full-stack marketplace model across multiple home-service categories, while Yes Madam remains more focused on beauty and wellness.
Urban Company currently also operates an instant housekeeping business through InstaHelp, extending its presence into high-frequency home services.
