DeHaat’s Expected Revenue to Increase by More Than 80% to Rs 2,300 Crore in FY23
- ByStartupStory | March 6, 2023
DeHaat, an agritech startup, is poised for an impressive revenue growth of more than 80% in the current fiscal year, amounting to approximately Rs 2,300 crore. The surge in revenue can be attributed to increased sales of farm inputs to farmers and the trading of agricultural produce in both domestic and overseas markets, according to CEO Shashank Kumar. DeHaat’s cutting-edge technology platform provides farmers with a comprehensive suite of agricultural services. By the end of this year, the company is expected to achieve positive EBIDTA, as highlighted by Kumar.
DeHaat offers farmers a broad range of agricultural services, such as the distribution of superior-quality agricultural inputs, tailored farm advisory, financial services access, and market connections for the sale of their products. The company has secured USD 221 million in investments from prominent investors, including Sofina, Lightrock, Prosus Ventures, Sequoia Capital India, Omnivore Partners, and FMO.
Shashank Kumar, CEO of DeHaat, stated that approximately 70% of the company’s total revenue would come from the sale of farm produce obtained from farmers, with the remaining 30% derived from the sale of inputs such as seeds and agrochemicals to farmers. In the 2022-23 financial year, the company plans to export agricultural items, primarily fruits and vegetables, worth Rs 60-65 crore. Kumar also revealed that DeHaat intends to become EBIDTA-positive by December 2023 when questioned about the company’s profitability.
DeHaat has been expanding its network of DeHaat Centres on a franchisee model, run by rural entrepreneurs, which has grown to over 11,000 from 5,800 at the start of the current fiscal year. CEO Shashank Kumar revealed that the company intends to increase this number to 12,500 across 12 states by the end of this month. Additionally, DeHaat has collaborated with over 500 Farmer Producer Organizations (FPOs), which can benefit from all the services available on the platform.
DeHaat, headquartered in Patna, Bihar and Gurugram, Haryana, was founded by IIT, IIM, and NIT alumni, including Amrendra Singh, Shyam Sundar Singh, Adarsh Srivastav, and Shashank Kumar. The company serves over 1.8 million farmers via DeHaat Centres. According to Kumar, there are currently no plans to raise funds, as there is sufficient capital remaining from the last two funding rounds (Series D and E). In November 2021, the company secured USD 60 million in a Series E funding round.
DeHaat has enlisted over 2,000 agribusiness institutions, such as input producers, FMCG companies, insurance partners, banks, and bulk output exporters, enabling them to reach farmers directly and foster efficiency and transparency. The company provides farmers with AI-driven crop advisory in over 30 crops and regional languages at no charge, according to CEO Shashank Kumar.
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