DeHaat reports 9.8% revenue decline to Rs 2,715 crore in FY26

Revenue decline and widening losses

DeHaat, a full-stack agritech platform, reported a 9.8% decline in operating revenue for the fiscal year ending March 31, 2026, dropping to Rs 2,715 crore from Rs 3,010 crore in the previous year, according to Entrackr. The company’s net loss widened by 11.4% to Rs 224 crore during the same period.

Revenue streams and market focus

Sales of agricultural inputs contributed Rs 517 crore, or 19% of DeHaat’s operating revenue in FY26. India remained the company’s primary market, accounting for 83% of total revenue, while international markets, including the UK, Europe, the Middle East, Thailand, and Russia, made up the rest.

Cost structure and profitability metrics

Total expenditure decreased to Rs 2,972 crore in FY26 from Rs 3,242 crore in FY25, with employee benefit expenses falling by 9.1% to Rs 159 crore. Despite these reductions, DeHaat spent Rs 1.09 to earn every rupee of operating revenue. The company’s EBITDA margin improved to 6%, while return on capital employed (ROCE) stood at -53.9%. Current assets at the end of FY26 were approximately Rs 1,000 crore.

Shift toward in-house brands

DeHaat is transitioning its business model to focus on building in-house brands such as Farm Plus and HonestFarms. This strategic move aims to reduce dependence on third-party products and improve profit margins.

What this means

Lazyfounder analysis — our interpretation, not reported fact.

DeHaat’s financial performance in FY26 reflects the challenges of scaling an agritech business in a competitive and low-margin sector. The revenue decline and widening loss are not outliers—many agritech startups struggle with thin margins due to high operational costs and dependency on third-party suppliers. However, the shift toward in-house brands is a noteworthy attempt to regain control over profitability. If successful, this could set a precedent for other platforms grappling with similar issues, particularly in markets like India where input costs and supply chain inefficiencies often erode margins.

The improved EBITDA margin, despite the revenue drop, suggests that DeHaat’s cost-cutting measures are having some effect. For founders, this highlights the importance of balancing growth with operational discipline, especially in sectors where scaling rapidly can lead to unsustainable expenditure. The negative ROCE, however, underscores the capital-intensive nature of agritech, where returns on investment remain elusive even as companies expand. Investors may view this pivot toward in-house brands as a necessary evolution, but the ultimate test will be whether it can deliver sustainable profitability.

Key takeaways

• DeHaat’s shift toward in-house brands like Farm Plus and HonestFarms signals a strategic pivot to improve margins and reduce reliance on third-party products. Founders in agritech should watch how this transition impacts profitability and cash flow.
• The 9.1% reduction in employee benefit expenses suggests cost-cutting measures, which may inform operational strategies for startups facing similar revenue declines.
• Despite revenue contraction, the improved EBITDA margin indicates some progress in operational efficiency—a critical signal for investors evaluating agritech business models.

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