BlackBuck, Backed by Tiger Global, Reports Widened FY23 Loss of Rs 290 Crore with a 15% YoY Revenue Decline

• ByStartupStory     |    December 6, 2023

In the fiscal year 2023, logistics firm BlackBuck experienced an expanded loss, reaching Rs 290 crore—an increase of 2% compared to the previous year’s Rs 284 crore deficit. The company also witnessed a significant downturn in revenue, with a 15% decline to Rs 704 crore, down from Rs 832 crore in the preceding year, indicating a slowdown in its operational performance. Despite this, total expenses were reduced by 12% to Rs 1,014 crore during the same period, showcasing a simultaneous cost management effort.

To fortify its position, the Bengaluru-based logistics company secured a Series E investment of $67 million in July 2022, elevating its status to the coveted unicorn club. The influx of funds was earmarked for market penetration strategies and the introduction of new service offerings to augment its existing customer base. A substantial portion was intended for investing in product and data science capabilities, aiming to streamline freight matching within India’s trucking ecosystem.

Having received backing from Tiger Global, BlackBuck has amassed a total funding of $359 million, as reported by market intelligence firm Tracxn. The company’s strategic pivot from merely operating a trucking marketplace to providing digital value-added services last year was a conscious effort to diversify its revenue streams.

Chanakya Hridaya, Co-founder and Chief Sales Officer of BlackBuck, explained this shift stating, “The shift in strategy happened due to the rise in smartphone penetration, coupled with the government mandate on FASTag in 2019. That was an opportunity for BlackBuck to acquire truck owners for using the platform at a massive scale for toll payment,”

Established in 2015 by Chanakya Hridaya, Rajesh Yabaji, and Ramasubramaniam B, BlackBuck initially operated as a platform connecting truckers with businesses seeking transportation services. Over time, it evolved into an end-to-end logistics platform claiming to engage 1 million transacting users.

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