Amazon Seller Services turns PBIT-profitable as Amazon Now scales

Amazon Seller Services posted FY26 PBIT of ₹172 crore, with EBITDA up 19% to ₹3,640 crore. The marketplace is also lowering seller fees while expanding Amazon Now to 100 cities and 1,000-plus micro-fulfilment centres, raising pressure on quick-commerce rivals.

— Source published Tue, 18 Aug, 2026, 23:32 IST · First seen Wed, 19 Aug, 2026, 00:01 IST · Source Financial Express · BrandWagon

What happened

Amazon India (Amazon Seller Services) · Amazon Seller Services posted its first PBIT profit of Rs 172 crore in FY26 as income and margins improved. Amazon is

Key facts

  • FY26 PBIT: Rs 172 crore
  • FY26 EBITDA: Rs 3,640 crore, up 19%
  • FY26 EBITDA margin: 10.41%, up 37 bps
  • FY26 total income: Rs 35,574 crore, up 15.5%
  • FY26 Stores revenue: Rs 28,795 crore, up 12.6%
  • Zero referral fees expanded to products below Rs 1,000 across 1,800+ categories and about 125 million listings
  • 2026 India investment: over Rs 2,800 crore
  • India commitment through 2030: $48 billion
  • Amazon Now: 100 cities and 1,000+ micro-fulfilment centres
  • 100+ larger urban fulfilment centres being added

Why this matters

Amazon’s 1,000-plus micro-fulfilment-centre network raises the strategic value of last-mile logistics, dark-store technology and local commerce partnerships while intensifying pressure on quick-commerce rivals.

What to watch

  • Amazon Now city count, active micro-fulfilment-centre count and evidence that centres are becoming denser rather than merely broader.
  • Delivery-time promises, fulfilment reliability and cancellation/substitution rates in Amazon Now markets.
  • Sequential growth in seller count, GMV, advertising revenue and take-rate following fee reductions.
  • Whether FY27 EBITDA margin holds as rapid-delivery operating costs and network capex rise.
  • Prime-member adoption and repeat-order frequency for Amazon Now.
  • Price and delivery-fee responses from Blinkit, Swiggy Instamart, Zepto and BigBasket.
  • Signs of supplier exclusivity, private-label investment or local-store partnerships that improve Amazon Now assortment.
  • Regulatory or competitive scrutiny around marketplace fees, seller treatment, discounting and inventory practices.
  • Target Amazon Now rollout first in dense, high-AOV urban clusters where existing Amazon logistics and Prime demand can be leveraged.
  • Use lower seller fees selectively for fast-moving grocery, beauty, pharmacy-adjacent and local-selection categories rather than broad-based fee compression.
  • Bundle Amazon Now with Prime benefits, cashback and recurring-purchase offers to increase frequency and reduce dependence on paid acquisition.
  • Recruit regional brands and neighbourhood merchants with preferential visibility, faster settlement and inventory-placement incentives.
  • Use marketplace seller data to identify hyperlocal assortment gaps and position inventory closer to demand hotspots.
  • Expect quick-commerce rivals to increase category promotions, delivery-subscription benefits and exclusive-brand partnerships in contested cities.