Meesho profit calculation — a synthetic settlement example

Start from settlement, subtract costs by order outcome, add signed account adjustments, then subtract overheads. The example below uses invented figures to explain SellerWala’s calculation. They are not Meesho fees, policy rates or a real seller’s results.

Synthetic order rows

Each order has one unit. Product making cost is ₹100 and packing cost ₹10 per shipped unit. Assume RTO product loss 0%, customer-return product loss 50% and packaging loss 100% for both. These are choices for this example, not recommended default loss rates.

Order	Outcome	Net settlement	Making cost lost	Packing used	Order profit
DEMO-1	Delivered	₹250	₹100	₹10	₹140
DEMO-2	Delivered	₹230	₹100	₹10	₹120
DEMO-3	RTO	−₹20	₹0	₹10	−₹30
DEMO-4	Customer return	−₹40	₹50	₹10	−₹100
Total	4 orders	₹420	₹250	₹40	₹130

The negative settlements already include deductions in these invented rows. Do not subtract those same deductions again. A return-shipping column can explain a loss without becoming an additional cost after settlement.

Account adjustments and overheads

Add a signed −₹30 ads adjustment, ₹10 referral payment and ₹20 compensation. Account adjustments sum to zero in this example:

₹130 − ₹30 + ₹10 + ₹20 = ₹130 before overheads.

Monthly overheads of ₹300 over a 10-day payment window add ₹300 × 10 ÷ 30 = ₹100. SellerWala’s expense proration uses a 30-day month. Final estimated net profit is ₹130 − ₹100 = ₹30.

Reproduce it in the tool

Use a supported payment workbook with synthetic rows, enter making cost ₹100 and packing ₹10 for the example SKU, and choose the loss assumptions above. Check the payment-file format guide before constructing a sample. The payment-file tool has its own editable loss defaults; change them to reproduce this example.

If an order has several payment legs, the tool groups its Sub Order No, sums the settlement legs and resolves its status using the supported status-priority rules. Units are not the same as payment rows. Overlapping files are handled separately from multiple legitimate adjustments within one file.

Forecast versus settled profit

The price calculator forecasts listing profit from rates you enter and assumes returns are resellable. The payment-file calculator starts with actual settlement and editable product-loss assumptions. Different inputs and periods can legitimately produce different answers.

Read shipping and return deductions before adding expenses, and RTO meaning and cost to distinguish undelivered parcels from customer returns. Use the glossary for other terms.