Shiprocket’s FY23 Revenue Surges 80% Despite Widening Losses
- ByStartupStory | November 4, 2023
Shiprocket, an e-commerce enablement platform, experienced an 80% increase in operating revenue in FY 2022-23, reaching INR 1,089 crore, despite widening losses compared to the previous fiscal year.
Saahil Goel, Co-founder and CEO of Shiprocket reported this growth, emphasizing the significant contribution of non-shipping revenue, with INR 251 crore of the total gross margin in FY23 coming from technology offerings. However, the company’s losses increased to INR 341 crore in FY23, driven by absorbing losses of INR 184 crore from newly acquired businesses in their first year of operation, ESOP costs, and exceptional costs of INR 71 crore related to investments and acquisitions.
Despite these challenges, Goel highlighted that Shiprocket’s core business remained “quite profitable” as of September 2023. The company successfully leveraged synergies with its acquired companies, which are now on a growth trajectory, contributing to improved profitability in the current financial year (FY24).
Shiprocket’s expenses also increased, mainly due to the consolidation of expenses from recent acquisitions and the inclusion of expenses related to the fulfillment business. Employee benefits expenses amounted to INR 318 crore, representing a 160% year-on-year increase, with INR 88 crore allocated to the employee stock ownership plan.
In the past year, Shiprocket strengthened its business through five strategic acquisitions in the areas of cargo shipping, supply chain management, marketing automation, logistics aggregation, and retail enablement.
Founded by Saahil Goel, Gautam Kapoor, and Vishesh Khurana, Shiprocket facilitates over INR 25,000 crore in annual sales for more than 100,000 online businesses, covering various aspects of e-commerce, including marketing, payments, checkout, warehousing, shipping, and customer experience.
Exciting news! We’re now on WhatsApp Channels too. Subscribe today by clicking the link and stay updated with the latest insights in the startup ecosystem! Click here!
The company achieved unicorn status in August 2022, with a valuation of $1.3 billion after a $32.6 million funding round from investors like Lightrock, Temasek, Bertelsmann, Moore Strategic Ventures, and others. In a recent extended Series E round, Shiprocket secured an additional $11 million in funding from McKinsey through its investment entity AFOS.
Follow Startup Story
Related Posts
