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ZingHR posts Rs 84 Cr revenue in FY23; losses surge 84%

EntrackrEntrackr · 1y ago
ZingHR posts Rs 84 Cr revenue in FY23; losses surge 84%
Medial

HR tech platform ZingHr has managed a 51% growth in its operating scale in the fiscal year ending March 2023. However, the company’s losses outpaced its revenue growth and neared Rs 21 crore in the same period. Tata Capital-backed ZingHR’s revenue from operations grew to Rs 84.48 crore in FY23 from Rs 55.77 crore in FY22, according to its consolidated financial statements with the Registrar of Companies (RoC). ZingHr is an HR tech platform which offers solutions such as recruitment, payroll, employee management, talent management, payroll, and others. The company claims to have over 1,100 worldwide customers with more than two million active users across 8 countries. The sale of subscription-based software was the only source of revenue for ZingHr which surged 51.48% during FY23. The company also made Rs 1.63 crore from finance income (non-operating) which tallied its total revenue to Rs 86.1 crore in the last fiscal year. Similar to other recruiting and allied servicing platforms, employee benefits expenses accounted for 55.52% of the overall expenditure. This cost surged 48% to Rs 59.2 crore in FY23 from Rs 39.8 crore in FY22. The firm’s marketing, product maintenance, professional, server, data security, and other overhead caused a 61.5% rise in its total expenditure to Rs 106.69 crore in FY23 from Rs 66.05 crore in FY22. Head to TheKredible for a detailed expenses breakup. Expenses Breakdown Total ₹ 66.05 Cr https://thekredible.com/company/zinghr/financials View Full Data To access complete data, visithttps://thekredible.com/company/zinghr/financials Total ₹ 106.69 Cr https://thekredible.com/company/zinghr/financials View Full Data To access complete data, visithttps://thekredible.com/company/zinghr/financials Server and Data Security charges Server and Data Security charges Employee Benefit Employee Benefit Travelling and conveyance Travelling and conveyance Professional charges Professional charges Selling and Marketing expenses Selling and Marketing expenses Product maintenance charges Product maintenance charges Other Expenses To check complete Expense Breakdown visit thekredible.com View full data At the end, the firm’s losses jumped by 84.4% to Rs 20.56 crore in FY23. Its ROCE and EBITDA margin worsened to -54% and -23%, respectively. On a unit level, ZingHR spent Rs 1.27 to earn a rupee in FY23. FY22-FY23 FY22 FY23 EBITDA Margin -17% -23% Expense/₹ of Op Revenue ₹1.18 ₹1.26 ROCE -17% -54% ZingHR has raised around $13 million to date including its $10 million from Tata Capital. According to the startup data intelligence platform TheKredible, Tata Capital is the largest external stakeholder with 35.82% followed by Erasmic Venture Fund and Triton Fund. View TheKredible for the full shareholding pattern. While the high shareholding of Tata Capital might indicate a high conviction in the firm and its founders, ZingHR is up against it in a field that is both cluttered and competitive. Product differentiators are few and far between, making too much price elasticity impossible. HRtech firms might soon realize that besides the tech they offer to their clients, it is the cost of the same tech for their products that will eventually decide their future. We believe the category will find it tougher to raise capital going ahead, short of some disruptive options that are not yet visible.

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ZingHR crosses Rs 120 Cr revenue mark in FY24, cuts losses by 67%

EntrackrEntrackr · 3m ago
ZingHR crosses Rs 120 Cr revenue mark in FY24, cuts losses by 67%
Medial

ZingHR crosses Rs 120 Cr revenue mark in FY24, cuts losses by 67% Cloud-based HRtech firm ZingHR sustained its growth streak in the last fiscal year, with revenue from operations surging over 47%, crossing the Rs 120 crore mark. Simultaneously, the Mumbai-based company reduced its losses by two-thirds during the same period. According to its consolidated financial statement sourced from the Registrar of Companies (RoC), ZingHR's revenue from operations climbed to Rs 124 crore in FY24 from Rs 84 crore in FY23. ZingHR offers staffing and talent acquisition services across various sectors, including BFSI, retail, and IT. The company generates its revenue exclusively from the sale of subscription-based software. Similar to other recruiting and allied service platforms, Zing HR’s employee benefits remained the largest cost component, accounting for 61% of total expenses. This cost rose 37% to Rs 81 crore during the fiscal year ending March 2024 from Rs 59 crore in FY23. Server and data security charges saw a 71% spike, reaching Rs 12 crore, while product maintenance costs increased 50% to Rs 9 crore. In contrast, professional fees and other expenses witnessed marginal reductions. Overall, total expenses for ZingHR grew 24% to Rs 133 crore in FY24. Despite rising costs, ZingHR significantly reduced its losses, reporting a net loss of Rs 7 crore in FY24, an improvement from Rs 21 crore in FY23, a 67% reduction. The company's Return on Capital Employed (ROCE) and EBITDA margin stood at -24.69% and -5.52%, respectively. On a unit level, ZingHR spent Rs 1.07 to earn a rupee during the last fiscal year. The Mumbai-based firm reported current assets worth Rs 56 crore, including Rs 12 crore in cash and bank balances in FY24. According to TheKredible, ZingHR has raised $14 million in funding to date, with Tata Capital as its lead investor, holding a 35.82% stake. ZingHR seems close to breaking out of any future fundraising requirements, assuming that momentum from FY24 has carried over into FY25 numbers as well. The disruption in the HRTech space is vastly underestimated, considering the continuous disruptions seen for the past decade, and ZingHR’s performance is quite good in that situation. While we don’t have a breakdown for revenue from India versus outside, the firm will do well to build revenues from exports. At a time when even forbidden sectors like the government or government-owned firms might be opening up to HR Tech firms, one would have to say even amidst the high competitive intensity, the sector is set to be significantly larger over the next 5 years. The one massive challenge will remain the missing firms from the MSME sector, which remains a problem to solve for service providers across the chain for now, not just HR. But all said and done, exciting times lie ahead for ZingHR.

Quikr posts Rs 51 Cr revenue in FY23, losses shrink 62%

EntrackrEntrackr · 1y ago
Quikr posts Rs 51 Cr revenue in FY23, losses shrink 62%
Medial

Quikr, the online marketplace and classified platform, experienced a drop in scale from Rs 191 crore in FY19 to Rs 110 crore in FY20. This declining trend continued until FY22. The Bengaluru-based firm, however, has recently shown signs of stability and resilience with its revenue growing for the first time in the last three years in FY23. Additionally, the former unicorn also managed to bring down its losses by a significant margin during the period. Quikr’s revenue from operations marginally grew 4.7% to Rs 51.36 crore during the fiscal year ending March 2023 as compared to Rs 49.07 crore recorded in FY22, as per the company’s consolidated financial statements with the Registrar of Companies. Quikr made the majority of its revenue from lead referral fees followed by advertising, both verticals collectively contributed to around 90% of revenue in FY23. The remaining sum was collected via commissions, management consultancy services, business support, and other operating activities. The company also earned Rs 2 crore from interest and gains on other financial assets (non-operating income). Considering this, the total income of the company stood at Rs 53.38 crore in FY23. On the cost side, employee benefit was the largest cost expense for the company. Which however shrank 17% to Rs 41.5 crore in FY23 from Rs 50 crore in FY22. IT costs including web hosting and payment gateway also dwindled 43% to Rs 3.5 crore during the year from Rs 6.13 crore in FY22. The company also cut down its legal, promotional, and other expenses, akin to which, the overall expenditure dwarfed 27% to Rs 61.36 crore in FY23. The total expenditure was Rs 84 crore during the previous fiscal year. For a complete expense breakdown and year-on-year financial performance and more information about the company, visit TheKredible. The cost-cutting measures taken by the company during the year can also be seen in its bottom line which improved significantly. Quikr’s losses declined 62% to Rs 7.98 crore during FY23 in comparison to Rs 20.98 crore in FY22. Additionally, the company’s outstanding losses stand at Rs 3,077 crore at the end of FY23. Operating cashflows also turned green (positive) to Rs 2.57 crore in FY23 against Rs 29.23 crore (negative) in the previous year. The EBITDA margin and ROCE of the company strengthened to -3.52% and -3.87%, respectively during the period. On a unit level, Quikr spent Rs 1.19 to earn a rupee of operating revenue in FY23.

Blue Tokai posts Rs 216 Cr revenue with improved EBITDA margin in FY24

EntrackrEntrackr · 5m ago
Blue Tokai posts Rs 216 Cr revenue with improved EBITDA margin in FY24
Medial

Blue Tokai posts Rs 216 Cr revenue with improved EBITDA margin in FY24 Blue Tokai Coffee Roasters has achieved over five-fold growth in the past four fiscal years. The brand's revenue grew from Rs 41 crore in FY21 to Rs 75 crore in FY22, Rs 127 crore in FY23, and Rs 216 crore in FY24. Blue Tokai’s revenue from operations grew 70% year-on-year to Rs 216 crore in FY24 from Rs 127 crore in FY23, its annual consolidated financial statements sourced from the Registrar of Companies show. Income from the sale of coffee accounted for 93% of the overall operating revenue which stood at Rs 201 crore in FY24. The rest of the collections come from the sale of bakery products. Blue Tokai claims to have 130 outlets and plans to expand to over 350 locations in the next 3 years. The company also added Rs 5 crore from interest on deposits and gains on mutual funds, which tallied its overall income to Rs 221 crore in FY24 and Rs 129 crore in FY23. Moving towards the cost breakdown, employee benefits were the largest cost center, accounting for 29.5% of the overall cost, which increased by 95% to Rs 84 crore in FY24. Blue Tokai’s procurement costs increased by 46% to Rs 83 crore in FY24. Due to the notable expansion of the outlets, the rent cost surged 94% to Rs 33 crore in FY24. Its legal, advertising, communication, travel, and other overheads increased the total expenditure by 66% to Rs 285 crore in FY24 from Rs 172 crore in FY23. The surge in employee benefits and rent costs outpaced the revenue growth which led Blue Tokai to post a 46% increase in losses which stood at Rs 63 crore in FY24, compared to Rs 43 crore in FY23. However, the company improved its EBITDA margin, narrowing it from -24.7% in FY23 to -19% in FY24. Blue Tokai spent Rs 1.32 to earn a rupee during the fiscal year. By the end of FY24, the company reported current assets of Rs 153 crore, including cash and bank balances of Rs 61 crore. Blue Tokai has raised over $80 million to date including its $30 million Series C round led by Verlinvest in August last year. According to the startup data intelligence platform TheKredible, A91 Partners was the largest external stakeholder with 22.77% followed by Verlinvest. On the competition side, Third Wave Coffee posted Rs 240 crore of revenue with a loss of Rs 110 crore in FY24. While Starbucks India posted a whopping Rs 1,218 crore in revenue in the previous fiscal. Sleepy Owl, Subko Coffee, and Seven Beans are yet to post their financial results for FY24.

Amazon India logistics unit posts Rs 4,889 Cr income in FY24

EntrackrEntrackr · 8m ago
Amazon India logistics unit posts Rs 4,889 Cr income in FY24
Medial

Amazon Transportation Services reported a marginal growth in its revenue during the fiscal year ending March 2024. At the same time, the company reduced its losses by over 6% during the same period. AmazonTransport Services aka ATS’s revenue from operations grew 7.6% to Rs 4,888.9 crore in FY24 from Rs 4,543.3 crore in FY23, its standalone financial statement sourced from Tofler shows. Apart from operational income, ATS’s other income spiked 66% to Rs 57.3 crore in FY24 from Rs 34.5 crore in the previous fiscal year. This brought the total income for FY24 to Rs 4,946.2 crore. Amazon Transportation Services provides logistics and delivery solutions, supporting Amazon's e-commerce operations. Its services include order pickup, sorting, and last-mile delivery across India. It makes money via offering aforementioned services to Amazon India. The company’s total expenses excluding depreciation stood at Rs 4,690.8 crore in FY24 from Rs 4,310.2 crore in FY23, marking an 8.8% rise. Depreciation expenses, however, decreased by 10.2%, standing at Rs 313.7 crore for FY24, down from Rs 349.4 crore in FY23. Despite the growth in revenue, ATS managed to reduce its losses by 6.3% to Rs 80.3 crore in FY24 from Rs 85.7 crore in FY23. Its outstanding losses reached Rs 469.8 crore as of the end of FY24. Other equity components, including the share-based compensation reserve, increased 26% to Rs Rs 490.4 crore in the last fiscal year. While ATS’s parent company, Amazon Corporate Holdings continues to support its operations, the persistent losses indicate ongoing challenges in reaching profitability despite YoY revenue growth. In the past five years, Amazon India (through transport services) has expanded its partnership with Indian Railways, increasing from a single train in 2019 to over 120 trains by 2024, now covering 130 intercity routes across 91 cities.

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