Bengaluru-based contract manufacturer Zetwerk reported a consolidated loss of ₹1,606 crore in FY26, more than four times the ₹370.7 crore loss in FY25, despite a 40.4% year-on-year revenue increase to ₹15,913 crore, according to inc42.com. The company’s adjusted EBITDA rose over fourfold to ₹421.3 crore, while its adjusted EBITDA margin slightly declined to 2.65%.
Zetwerk has shifted from a pure marketplace model to a hybrid approach combining its supplier network with owned manufacturing facilities. It now manages 6,979 third-party suppliers across 26 countries and operates 26 manufacturing plants in four countries. The FY26 loss included an exceptional ₹835.8 crore non-cash adjustment related to share conversion ratios and a ₹453 crore impairment from discontinued civil infrastructure operations, per inc42.com.
The company’s manufacturing order book stood at around ₹12,370 crore entering FY27, up 43% from the previous year, underscoring strong demand. Zetwerk’s financials reflect the challenges of scaling manufacturing operations alongside marketplace services. The widening losses despite revenue growth highlight the pressures on cash flow and profitability in the contract manufacturing sector, a space seeing increased investor interest and competition.
Zetwerk’s adjusted EBITDA growth and expanded order book position it as a key player ahead of its planned public market debut. The company’s financial disclosures for FY26 provide a detailed view of its evolving business model and the costs associated with scaling manufacturing capabilities alongside its supplier network.