Zepto, the latest Indian startup to enter the unicorn club, saw its net loss surge 3.35X during the year ended March 31, 2023. The quick commerce startup reported a net loss of INR 1,272.4 Cr in the financial year 2022-23 (FY23), an increase of 226% from INR 390.3 Cr in the last financial year.
Meanwhile, revenue from operations ballooned 14.3X to INR 2,024.3 Cr in FY23 from INR 140.7 Cr in FY22. Total income, including other income, jumped to INR 2,077.6 Cr from INR 142.3 Cr in the last fiscal year.
The Nexus Venture Partners-backed startup, founded by Stanford dropouts Aadit Palicha and Kaivalya Vohra in 2021, is the only Indian startup to enter the unicorn club in 2023 so far amid the ongoing funding winter.
Zooming Into Zepto’s Expenses
Total expenses rose 529% during the year under review. The Mumbai-based startup’s expenses stood at INR 3,350 Cr in FY23, an increase of 6.3X from INR 532.7 Cr in the previous fiscal year.
Purchase Of Stock-In-Trade Surges: Zepto spent INR 1,804.6 Cr for procurement of grocery items in FY23, a jump of 1,125.9% from INR 147.2 Cr in the previous fiscal year. This is a clear indication that the startup has increased its presence across India.
Employee Benefit Expenses Rise: Zepto’s employee cost increased 419% to INR 263.4 Cr during the year under review from INR 50.7 Cr in FY22. The startup currently has an employee headcount of 3,833, as per information available on LinkedIn.
Zepto entered the market in 2021 at a time when the demand for quick commerce delivery was on the rise following the outbreak of the Covid-19 pandemic. It first turned heads after it raised $60 Mn in November 2021 from Glade Brook Capital, Nexus, and Y Combinator, among others.
In August this year, it raised $200 Mn in its Series E funding round at a valuation of $1.4 Bn from StepStone Group, Glade Brook Capital, Lachy Groom, among others.
To date, it has raised $760 Mn across multiple funding rounds.
Zepto competes against the likes of Swiggy’s Instamart, Zomato-owned Blinkit, and Reliance-backed Dunzo.
The post Zepto’s FY23 Revenue Jumps 14X To INR 2,078 Cr, Loss Triples To INR 1,272 Cr appeared first on Inc42 Media.