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Mylab’s op revenue nosedives to under Rs 100 Cr in FY23, slips into losses

EntrackrEntrackr · 12m ago
Mylab’s op revenue nosedives to under Rs 100 Cr in FY23, slips into losses
Medial

Adar Poonawalla-backed Mylab thrived during the pandemic (FY21 and FY22) when the demand for covid related testing and other services skyrocketed. In the subsequent fiscal year ending March 2023, however, MyLab’s scale nosedived around 64% as the world returned to normalcy. Furthermore, a steep fall in demand also led the Pune-based firm to book sizable losses in FY23 against profits in FY21 and FY22. While the company achieved a 100X growth to Rs 825 crore in FY21, its scale dwindled to Rs 95 crore in FY23, Mylab’s consolidated financial statements filed earlier this week with the Registrar of Companies show. Mylab Even as the company remained profitable in FY22, Mylab’s scale has been on a downward trajectory since then. In FY22, the operating revenue was already down 68.4% to Rs 260.71 crore. Founded in 2016, Mylab develops and sells diagnostic kits for clinical diagnostics. Similar to FY21 and FY22, the sale of such kits continued to be the sole source of operating revenue for Mylab in FY23 The company also added Rs 29 crore from interest and miscellaneous sources tallying the total income to Rs 124 crore in FY23. On the cost side, the manufacturing of kits formed 27% of the total expenditure. In the line of decreasing scale, this cost was reduced by 60% to Rs 50 crore in FY23. The firm’s burn on employee benefits, legal fees, advertising, royalty, conveyance, and other overheads took its total expenditure to Rs 185 crore in FY23 from Rs 250 crore in FY22. See TheKredible for the detailed expense breakup. The decline in scale and fixed overheads led Mylab into losses for the first time in the last three reported fiscals. The company recorded a loss of Rs 47 crore in FY23, compared to a Rs 16 crore profit in FY22. Its ROCE and EBITDA margin worsened to -18% and -24.19%, respectively. On a unit level, it spent Rs 1.95 to earn a rupee in FY23. FY22-FY23 FY22 FY23 EBITDA Margin 14.81% -24.19% Expense/₹ of Op Revenue ₹0.96 ₹1.95 ROCE 11.42% -18.01% Much like online edtechs, online healthcare also seems to have vastly underestimated the fight in offline firms that missed out during the pandemic. Be it schools and other institutions in the case of edtech, in healthcare too we have seen offline diagnostic labs and institutions fight hard to claw back share and revenues from the diagnostics market that online firms had grabbed during the pandemic. It’s a battle they understand well with first access to patients in many cases, and we are already hearing of cases where many clinics and hospitals insist on their test lab result. Doubts have also been raised on the credibility of test lab results that are picked up at home and analysed subsequently. Mylabs test kits and ancillary services model has faced these problems, and come up severely short, going by the look of things. The firm needs a better diagnosis for its own survival, and growth plans.

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Lendingkart posts Rs 1,090 Cr revenue in FY24, profit slips

EntrackrEntrackr · 7m ago
Lendingkart posts Rs 1,090 Cr revenue in FY24, profit slips
Medial

Temasek’s Fullerton recently acquired the troubled fintech firm Lendingkart in a distress sale. The company’s valuation plummeted to around $100 million in the deal, down from its peak of $690 million. While the reasons behind this downfall may become clearer when the firm discloses its FY25 numbers, the company’s profit after tax (PAT) slipped 6% during the fiscal year ending March 2024. We will analyze the company’s expenses in detail in the second half of the story. For now, let’s focus on its revenue streams and their growth. Lendingkart’s revenue from operations increased by 36% to Rs 1,090 crore in FY24 from Rs 798 crore in FY23, its consolidated financial statement sourced from the Registrar of Companies (RoC) shows. Lendingkart is a non-banking finance company (NBFC) that provides working capital and business loans to SMEs across India. It offers loans with an average ticket size of Rs 5 lakh to Rs 6 lakh to MSMEs and has disbursed over Rs 18,700 crore to more than 300,000 businesses. Revenue from co-lending was the primary contributor, accounting for 54% of the operating revenue, which surged by 88% to Rs 591 crore in FY24. Revenue from interest on term loans shrank by 2.86% to Rs 407.81 crore FY24, while commission income spiked 34X to Rs 22.58 crore in FY24. It also made Rs 69.15 crore from other operating activities. The company generated another Rs 127 crore in FY24 from non operating activities which took its total revenue to Rs 1,217 crore in FY24. On the expense side, finance cost was the major factor, which increased by 16.82% to Rs 293.53 crore in FY24. Employee benefit expenses grew by 75.70% to Rs 199 crore while legal charges increased 58.25% to Rs 125.62 crore FY24. Overall, the firm’s total expenses spiked 49.4% to Rs 1,022.7 crore in FY24 from Rs 684.4 crore in FY23. Note: The company recorded Rs 171.67 crore in FY24 and Rs 67.12 crore in FY23 under impairment losses, these amounts have been excluded from the expense or profit calculations. The rising expenses on employee benefits took a toll on Lendingkart's profit which slipped by 6% to Rs 174.92 crore in FY24 from Rs 185.93 crore in FY23. Its ROCE and EBITDA margin stood at 23.33% and 44.39%, respectively. On a unit basis, the company spent Re 0.94 to earn a rupee in FY24. The Ahmedabad-based company reported Rs 768.5 crore in cash and bank balances and had a current asset of Rs 2,110 crore as of FY24. According to TheKredible, Lendingkart has raised a total of Rs 3,217 crore (approximately $452 million) in funding to date. Its leading investors include Temasek, Bertelsmann, Mayfield, and Saama Capital.

Okinawa’s revenue nosedives 87% to Rs 182 Cr in FY24

EntrackrEntrackr · 2m ago
Okinawa’s revenue nosedives 87% to Rs 182 Cr in FY24
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Okinawa’s revenue nosedives 87% to Rs 182 Cr in FY24 Okinawa Autotech, once a prominent player in India’s electric two-wheeler space, saw its revenue plunge by nearly 87% in FY24, posting a loss of Rs 50 crore, which signaled a major setback for the homegrown EV brand. Okinawa’s revenue from operations decreased to Rs 182 crore in FY24 from Rs 1,144 crore in FY23, its regulatory filing accessed from the Registrar of Companies (RoC) shows. Founded in 2015, Okinawa Autotech is an electric two-wheeler manufacturer known for models like the PraisePro, iPraise+, Okhi-90, Ridge+, Lite, and R3. The sale of electric two-wheelers was the sole source of revenue for the Gurugram-based firm. Okinawa's sales declined significantly from 95,931 units in FY23 to 20,873 units in FY24. The company's market share also dropped from 13.17% to 2.20% during the same period. In the current fiscal year (FY25), it has managed to sell only 3,548 units, translating to a market share of just 0.31%. For the electric vehicle manufacturer, the cost of procurement accounted for 68% of the overall expenditure. To the tune of scale, this cost was reduced by 80% to Rs 171 crore in FY24 and Rs 859 crore in FY23. Its employee benefits shrank by 16% to Rs 26 crore in FY24. Okinawa’s advertising cost diminished by 88% to Rs 4 crore in FY24. Its rent, warranty claims, freight, and other overheads took the overall cost to Rs 251 crore in FY24 from Rs 991 crore in FY23. The sharp contraction in scale led Okinawa to report a Rs 52 crore loss in FY24. For context, the company posted Rs 166 crore of EBITDA in FY23. Its ROCE and EBITDA margins worsened to -102% and -25.8% respectively. On a unit level, it spent Rs 1.38 to earn a rupee in FY24. By the close of FY24, Okinawa’s total current assets were valued at Rs 276 crore. Okinawa competes with Ola Electric, which reported Rs 1,045 crore in revenue for Q3 FY25, and Ather, which filed its DRHP to raise Rs 3,100 crore through an initial public offering (IPO). In the traditional two-wheeler market, it faces competition from established players like Bajaj, Hero, and TVS Electric. Okinawa’s decline is the result of several challenges, including fire safety issues, stricter regulations, a loss of consumer trust, and growing competition from better-equipped rivals. Once seen as a leader in the EV space, the company now faces the tough realities of a maturing market, where success depends on innovation, compliance, and consistency.

ProcMart GMV zooms 3X to Rs 621 Cr in FY24; profit slips 56%

EntrackrEntrackr · 9m ago
ProcMart GMV zooms 3X to Rs 621 Cr in FY24; profit slips 56%
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B2B procurement marketplace ProcMart has been growing at a scorching pace over the past two fiscal years, with its gross merchandise value (GMV) spiking 5X in FY23 and FY24 compared to FY22. In FY24, the company achieved 3X GMV growth, but its profit nosedived by 56.5% ProcMart’s gross revenue shot up over 200% to Rs 621.5 crore during the fiscal year ending March 2024 in comparison to Rs 206.07 crore in FY23, the company’s consolidated financial statements sourced from the Registrar of Companies (RoC) show. ProcMart is engaged in the trading business of industrial automation, electrical, mechanical, electronics, IT items, abrasive, fasteners, safety & security items, various tools & consumables. The sale of these products accounted for 98% of the total gross revenue in the last fiscal year. The company also provides business procurement assistance services which formed the remaining part of the GMV during the last fiscal year. Overall, the company generated Rs 624.3 crore in gross revenue including Rs 2.79 crore from interest and gains on financial assets. Moving forward, the cost of materials was found to be the largest burn and formed 93.4% of the total expenses. This cost ballooned 216.3% to Rs 582 crore in FY24. The company spent 3% of its total expenses on employee benefits which stood at Rs 19 crore during the same period. Further, expenses such as transportation, legal & professional, rent et al took over the company’s total cost by 205.6% to Rs 623.4 crore during FY24 from Rs 204 crore in FY23 For the complete expense breakdown, head to TheKredible. Despite accelerating scale, ProcMart barely finished staying in the green. The company’s profits slipped 56.5% to Rs 73 lakh in FY24 against Rs 1.68 crore in FY23. Its operating cash flows however turned positive at Rs 15.81 crore crore during the last fiscal year. FY23-FY24 FY23 FY24 EBITDA Margin 2.28% 1.33% Expense/₹ of Op Revenue ₹0.99 ₹1.00 ROCE 7.33% 5.45% As per TheKredible, the firm’s EBITDA margin and ROCE registered at 1.33% and 5.45%, respectively. On a unit level, ProcMart spent Re 1 to earn a rupee of operating revenue during the previous fiscal year. ProcMar has raised over $40 million in funding to date across three rounds. Its last funding round came in April this year where it raised $30 million funding co-led by Fundamentum and Edelweiss Discovery Fund. As per TheKredible, the company was valued at around Rs 724 crore or $88 million (post-money). The B2B procurement space has been a surprise winner with the storied success of multiple firms. There is however little doubt that margins are thin, prompting changes in the model to contract manufacturing, financing and more by players. ProcMart for now seems to be sticking to the plain vanilla procurement based model. As it scales up, it will be interesting to see if it sticks to the model, or finds its own way into a higher margin revenue stream. Until then, it will know that maintaining a strong growth rate will be the least expected of it.

Treebo crosses Rs 100 Cr revenue in FY24, outstanding losses climb to Rs 488 Cr

EntrackrEntrackr · 6m ago
Treebo crosses Rs 100 Cr revenue in FY24, outstanding losses climb to Rs 488 Cr
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Treebo crosses Rs 100 Cr revenue in FY24, outstanding losses climb to Rs 488 Cr Treebo Hotels, a premium-budget hotel chain, crossed the Rs 100 crore revenue milestone in the fiscal year ending March 2024. Despite this growth, the Bengaluru-based company saw its losses rise by 17%, bringing total outstanding losses to Rs 488 crore. Treebo Hotels’s revenue from operations grew 22.5% to Rs 109 crore in FY24 from Rs 89 crore in FY23, its consolidated financial statements filed with the Registrar of Companies show. Income from accommodation services (taken on lease and managed properties) formed 95% of the total operating revenue which increased by 22.3% to Rs 104 crore in FY24 from Rs 85 crore in FY23. The rest of the income comes from the sale of products, and subscription services. The company also added Rs 7.22 crore as other income (non-operating) which tallied its overall revenue to Rs 116 crore in FY24 from Rs 94 crore in FY23. Treebo spent 41% of its overall expenditure on employee benefits which increased marginally by 7% to Rs 59 crore in FY24. Its cost and commission surged 70% and 48% to Rs 17 crore and Rs 43 crore in the previous fiscal year. Its cost of materials, legal, technology, traveling, and other overheads took the overall cost up by 22% to Rs 144 crore in FY24 from Rs 118 crore in FY23. The increased advertising and commission costs led Treebo to raise its losses by 16.7% to Rs 28 crore in FY24, compared to Rs 24 crore in FY23. Its ROCE and EBITDA margin stood at -540% and -18.1% respectively. On a unit level, it spent Rs 1.32 to earn a rupee in FY24. The company’s total current assets stood at Rs 34 crore with cash and bank balances of Rs 7 crore in the previous fiscal. According to startup data intelligence platform TheKredible, decade-old Treebo has secured Rs 566 crore (approximately $70 million) in funding from investors including Accor, Elevation Capital, Matrix Partners, and Bertelsmann. The company’s most recent major funding, amounting to $16 million, was raised in June 2021. Treebo competes directly with Bloom Hotels and FabHotels. In FY24, Bloom Hotels saw its operational revenue rise by 73.6% to Rs 250 crore, with a profit of Rs 14 crore. FabHotels recorded Rs 224 crore in operating revenue for FY23 but has not yet filed its FY24 annual report.

Extramarks losses drop by 85% to Rs 48 Cr in FY24, revenue slips 37%

EntrackrEntrackr · 4m ago
Extramarks losses drop by 85% to Rs 48 Cr in FY24, revenue slips 37%
Medial

Edtech platform Extramarks has made a significant turnaround in its bottom line, reducing losses by over 85%—from Rs 330 crore in FY23 to Rs 48 crore in FY24. The firm's scale shrank by 37% during the fiscal year ending March 2024. Extramarks’ revenue from operations declined by 36.86% to Rs 233 crore in FY24 from Rs 369 crore in FY23, according to its consolidated financial statements sourced from the Registrar of Companies (RoC). Founded by Atul Kulshrestha, Extramarks provides learning solutions for schools, students, and teachers. It offers Smart Class Plus, a tool designed to modernize traditional teaching methods in schools. The company earns revenue from subscription-based services like live classes, test series, school partnerships, and corporate training, which grew 18.54% to Rs 179 crore in FY24. However, its one-time product sales, including learning tablets, test preparation kits, and study materials, declined 75.23% to Rs 54 crore. The largest cost component, employee benefit expenses, declined 39.75% to Rs 144 crore in FY24. This sharp reduction was driven by a downsized workforce, as the company laid off over 500 employees and reportedly shut down its consumer-facing vertical in September 2023. The cost of materials saw an even sharper decline of 78.57%, settling at Rs 34.5 crore. However, finance costs rose 71.43% to Rs 36 crore. Overall, total expenses decreased 46.4%, falling to Rs 372 crore in the last fiscal year from Rs 694 crore in FY23. Effective expense management helped Extramarks significantly cut its losses, with a net loss of Rs 48 crore in FY24, an 85.45% reduction from Rs 330 crore in FY23. The company also improved its ROCE to -24.19% and EBITDA margin to -11.63% in the last fiscal year. On a unit basis, Extramarks spent Rs 1.60 to earn a rupee of revenue in FY24. The Noida-based company reported current assets worth Rs 190 crore in FY24 including Rs 49 crore of cash and bank balance. According to startup data intelligence platform TheKredible, Extramarks has raised a total of $44 million in funding from Reliance Industries’ Infotel Group. While Infotel’s current stake in the firm could not be ascertained, it reportedly acquired a 38.5% stake in Extramarks in 2023.

FreshToHome earns Rs 25 Cr net commission from India in FY23

EntrackrEntrackr · 1y ago
FreshToHome earns Rs 25 Cr net commission from India in FY23
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Online fresh meat and seafood ordering platform FreshToHome has been struggling to scale and this is evident from a marginal fall in its revenue during the fiscal year ending March 2023. However, the Bengaluru-based firm managed to cut losses by 22% in the same period. FreshToHome’s revenue from operations saw a mere decrease of 1.6% in FY23, its consolidated financial statements filed by the company’s ultimate holding entity in Singapore show. The sale of products (meat, seafood et al) was the primary source of FreshToHome gross merchandise value (GMV). Income from sales commission and royalties were other revenue drivers for the Singapore-incorporated company in FY23. See TheKredible for the detailed revenue breakdown. Notably, FreshtoHome worked through different business combinations in India and the UAE. The company booked only Rs 25 crore from net commission and royalty in India. According to its spokesperson, this was net income which roughly translates into Rs 800 crore of GMV in FY23. FreshToHome follows a cash-and-carry model in the UAE where it earned Rs 100 crore of gross sales during the fiscal year ended March 2023. FreshToHome spent Rs 323 crore on sales and marketing in FY23 which was 23.5% less when compared to FY22. The cost of procurement formed 17.3% of the overall cost which stood at Rs 93.5 crore in FY23. The firm’s burn on employee benefits, legal-professional, delivery charges, contract labor, packaging, and other overheads catalyzed its overall expenditure to Rs 539 crore in FY23 from Rs 655.5 crore in FY22. Head to TheKredible for the detailed expense breakup. Reduction in sales and marketing costs helped FreshToHome to contract its losses by 21.7% to Rs 409.4 crore in FY23 from Rs 522.9 crore in FY22. Its ROCE and EBITDA margins stood at -82% and -314% respectively. On a unit level, it spent Rs 4.88 to earn a rupee in FY23. FY22-FY23 FY22 FY23 EBITDA Margin -392% -314.1% Expense/₹ of Op Revenue ₹5.84 ₹4.88 ROCE -226% -82% FreshtoHome has raised over $290 million to date including its $104 million Series D round led by Amazon Sambhav Venture Fund in February last year. According to the startup data intelligence platform TheKredible, Iron Pillar is the largest external stakeholder followed by Raed Ventures. FreshToHome competes with Licious, Zappfresh, BBDaily, and Easymeat among a few others. During FY23, Licious’ gross income saw a modest 9.6% growth to Rs 747.7 crore from Rs 682.5 crore in FY22. The company’s losses remained flat at Rs 500 crore in FY23 against Rs 485 crore in FY22. The firm recently claimed that it has achieved an annual revenue run rate of $100 million, or around Rs 850 crore for FY24. Zappfresh ended FY23 with Rs 57 crore revenue and a nominal profit of Rs 3.5 crore. The problems being faced by FreshtoHome are not unique to it. Clearly, there are assumptions that have not held up about the Indian market, the most obvious being pricing of meat and related products. The market has simply refused to accept the kind of premium these firms demand, leading to failure to build long term relationships with customers. In the case of FreshtoHome, the ‘pivot’ to UAE is unlikely to be done at the same scale or using the same tactics, as the firm will probably not spend as much on market penetration. Cultivating relationships as a supplier with a core group of customers, thanks to higher average meat consumption and purchasing power means they have a far better chance of making it there, even as margins are unlikely to improve further due to local competition. The continuing high losses for these firms means that survival itself could become an issue if a health scare were to turn up, always a risk with meat products. While we won’t be looking out for a turnaround in FY24, we do believe that FY25 could be make or break for quite a few firms in the segment.

Vedantu posts Rs 153 Cr revenue in FY23; cuts losses by 46%

EntrackrEntrackr · 1y ago
Vedantu posts Rs 153 Cr revenue in FY23; cuts losses by 46%
Medial

Edtech company Vedantu has released its financial results for the fiscal year ending March 2023. The Bengaluru-based firm faced challenges in scaling, with its revenue dropping by 7.8% in FY23. However, the company managed to control its losses by 46% during the same period. Vedantu’s revenue from operations decreased by 7.8% to Rs 153 crore in FY23 from Rs 166 crore in FY22, its consolidated financial statements accessed from the Registrar of Companies (RoC)show. Income from online tutoring of various courses accounted for 94% of its total operating revenue which declined 13.3% to Rs 144 crore in FY23. The rest of the collections comes from the sale of books, hostel fees, and e-learning project income in FY23. The company also made Rs 22 crore from interest and gain on financial assets tallying its total income to Rs 175 crore in FY23. Similar to other large edtech startups, its employee benefits emerged as the largest cost center forming 56.7% of the total expenditure which declined by 35.8% to Rs 314 crore in FY23. The firm’s spending on legal, advertising cum promotional, training, information technology, and overheads pushed its overall expenditure to Rs 553 crore in FY23 from Rs 888 crore in FY22. See TheKredible for the detailed expense breakup. Despite the decline in scale, the Tiger Global-backed company managed to control its advertising and employee benefits which led Vedantu’s losses to decrease by 46.4% to Rs 373 crore in FY23 from Rs 696 crore in FY22. Its ROCE and EBITDA margins stood at -68% and -198.9% respectively. On a unit level, it spent Rs 3.61 to earn a rupee in FY23. FY23-FY24 FY22 FY23 EBITDA Margin -356.97% -199.30% Expense/₹ of Op Revenue ₹5.35 ₹3.62 ROCE -118.31% -68.44% Vedantu has not been able to raise a new round since its last equity funding in September 2021. The company also turned unicorn in the $100 million Series E round. In 2022, the company faced back to back firings and laid off more than 1,000 employees across three-four phases. The company also took over Deeksha, Pedagogy and Instasolv in the 2021-22 period. For Deeksha’s acquisition, it spent around $40 million. In December, Vedantu announced its expansion plan to open more than 30 offline centers for JEE, and NEET in multiple cities across the country.

Ergos gross revenue crosses Rs 200 Cr in FY23; losses stagnant

EntrackrEntrackr · 1y ago
Ergos gross revenue crosses Rs 200 Cr in FY23; losses stagnant
Medial

Agritech platform Ergos has managed to grow its scale by two-thirds in the fiscal year ending March 2023 with sound economics as the Bengaluru-based company kept losses in check during the period. Ergos’ gross revenue grew 66% to Rs 224 crore in FY23 from Rs 135 crore in FY22, its annual financial statements (FY23) filed with the Registrar of Companies show. Ergos enables farmers to convert their grains into tradable assets, access credit against stored produce, and make better yields. It also provides harvest supply chain solutions by leveraging technology. The sale of commodities to the customer was the primary source of revenue for Ergos contributing to 96% of overall operating income. Wheat turned out to be the largest revenue driver followed by maize, paddy, and others. Rest of the revenue came from warehousing management fees. Visit TheKredible for a detailed revenue breakup. On the expenses side, procurement costs formed 64.8% of the overall expenditure which spiked 65% to Rs 211 crore in FY23. Other costs such as employee benefits, rent, professional, vehicle and traveling costs took its overall expenditure to Rs 249 crore in FY23 from Rs 160 crore in FY22. Head to TheKredible for a complete expense breakup. The decent growth in scale and effective cost mechanism helped Ergos to control its losses which stood at Rs 24 crore in FY23 as compared to Rs 23 crore in FY22. Its ROCE and EBITDA margin stood at -69% and -8.9% respectively. On a unit level, Ergos spent Rs 1.11 to earn a rupee in FY23. FY22-FY23 FY22 FY23 EBITDA Margin -16% -8.9% Expense/₹ of Op Revenue ₹1.19 ₹1.11 ROCE -44% -69% As of now, Ergos has raised around $32 million across several rounds and was last valued at around $55 million. According to the startup data intelligence platform TheKredible, Aavishkaar Capital is the largest stakeholder with 48% followed by Chiratae Ventures and CDC Group. Currently, its founder and chief executive officer Kishor Kumar Jha commands 11.84% of the company. Operating to provide farmers avenues beyond MSP procurement one assumes, Ergos ses to be on a good pitch to leverage inefficiencies in the supply chain. However, one has to wonder just how far and high the model can take the firm. Perhaps a move into other crops will follow once enough of a network and learnings have been built in.

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