Fintech startup Lendingkart achieved profitability in the financial year 2022-23 (FY23), reporting a consolidated net profit of INR 118.8 crore compared to a net loss of INR 203.4 crore in the previous fiscal year. This turnaround was attributed to a significant reduction in spending on impairment loss on financial assets, loans, and advances.

Lendingkart’s operating revenue also surged by 29.5% to INR 798.4 crore in FY23 from INR 616.4 crore in FY22. Founded in 2014 by Harshvardhan Lunia, Lendingkart operates as a Non-Banking Financial Company (NBFC), focusing on disbursing loans to micro, small, and medium enterprises (MSMEs). The company generates revenue from interest income and financial services offerings.

While Lendingkart’s interest income decreased by over 25% YoY to INR 425.6 crore, its income from other financial services, including platform fees, soared by more than 700% YoY to INR 372.8 crore. Including commission income from insurance and other non-operating sources, Lendingkart’s total revenue reached INR 858 crore in FY23, up from INR 643.1 crore in the previous year.

In FY23, Lendingkart announced the acquisition of digital lending platform Upwards, although the transaction is still pending requisite regulatory approvals.

Examining the company’s expenses, Lendingkart’s total expenses decreased by 15.5% to INR 751.5 crore in FY23 from INR 889 crore in FY22, primarily due to a sharp reduction in impairment loss on financial assets, loans, and advances. The impairment loss declined to INR 112.1 crore in FY23 from INR 434.7 crore in the previous fiscal year.

While the finance cost increased by 4.5% to INR 249.7 crore in FY23, the company’s employee benefit expenses surged by over 57% to INR 113.3 crore. Advertising and promotional expenses rose to INR 27.6 crore from INR 13.2 crore in FY22. Lendingkart also witnessed a significant increase in miscellaneous expenses, which more than doubled to INR 55.7 crore in FY23.

Earlier in the year, Lendingkart secured $24 million in long-term debt funding from growth-stage debt financing platform EvolutionX Debt Capital to fuel its expansion and provide financing to more MSMEs across India.

Fintech startup Lendingkart achieved profitability in the financial year 2022-23 (FY23), reporting a consolidated net profit of INR 118.8 crore compared to a net loss of INR 203.4 crore in the previous fiscal year. This turnaround was attributed to a significant reduction in spending on impairment loss on financial assets, loans, and advances.

Lendingkart’s operating revenue also surged by 29.5% to INR 798.4 crore in FY23 from INR 616.4 crore in FY22. Founded in 2014 by Harshvardhan Lunia, Lendingkart operates as a Non-Banking Financial Company (NBFC), focusing on disbursing loans to micro, small, and medium enterprises (MSMEs). The company generates revenue from interest income and financial services offerings.

While Lendingkart’s interest income decreased by over 25% YoY to INR 425.6 crore, its income from other financial services, including platform fees, soared by more than 700% YoY to INR 372.8 crore. Including commission income from insurance and other non-operating sources, Lendingkart’s total revenue reached INR 858 crore in FY23, up from INR 643.1 crore in the previous year.

In FY23, Lendingkart announced the acquisition of digital lending platform Upwards, although the transaction is still pending requisite regulatory approvals.

Examining the company’s expenses, Lendingkart’s total expenses decreased by 15.5% to INR 751.5 crore in FY23 from INR 889 crore in FY22, primarily due to a sharp reduction in impairment loss on financial assets, loans, and advances. The impairment loss declined to INR 112.1 crore in FY23 from INR 434.7 crore in the previous fiscal year.

While the finance cost increased by 4.5% to INR 249.7 crore in FY23, the company’s employee benefit expenses surged by over 57% to INR 113.3 crore. Advertising and promotional expenses rose to INR 27.6 crore from INR 13.2 crore in FY22. Lendingkart also witnessed a significant increase in miscellaneous expenses, which more than doubled to INR 55.7 crore in FY23.

Earlier in the year, Lendingkart secured $24 million in long-term debt funding from growth-stage debt financing platform EvolutionX Debt Capital to fuel its expansion and provide financing to more MSMEs across India.