RentoMojo, a furniture rental company, experienced a significant financial turnaround, reporting a profit of Rs 6.2 crore in the fiscal year ended March 2023, marking a notable shift from a loss of Rs 13 crore in the preceding year. During this period, the Bengaluru-based firm witnessed a 22% increase in revenue, reaching Rs 121 crore compared to Rs 98.6 crore in the previous year.
The company managed to contain its total expenditure, which rose marginally to Rs 117 crore from Rs 112.5 crore in the prior fiscal year. The majority of expenses were attributed to employee benefits amounting to Rs 22.58 crore and finance costs of Rs 11.20 crore.
Established in 2014, RentoMojo specializes in renting furniture, appliances, and electronics, experiencing a substantial surge in demand, growing by 5 times in FY23. Geetansh Bamania, the Founder and CEO, noted the company’s profitability since October 2021, highlighting the continued growth in core categories like furniture and appliances.
Despite consistent demand, Bamania emphasized the need to align the ecosystem’s pace with the escalating demand for rental products. RentoMojo secured Rs 70 crore through multiple funding rounds in the last five months and holds an additional debt line of over Rs 40 crore for the current fiscal year.
Throughout its journey, the company has amassed over Rs 620 crore in funding through a combination of debt and equity. However, in April, RentoMojo encountered a data breach, with unauthorized access to its customer database due to cloud misconfiguration, leading to exposure of some personally identifiable information, the company informed its users via email.
