Sanjeev Kapoor’s Wonderchef Turns Profitable In FY24

SUMMARY

Wonderchef's revenue from operations jumped almost 20% to INR 377.7 Cr in FY24 from INR 315.6 Cr in FY23

Including other income of INR 3.2 Cr, the company’s total revenue for FY24 stood at INR 380.9 Cr, up 18% from INR 322.4 Cr in FY23

Wonderchef’s total expenditure zoomed 16.6% to INR 374.6 Cr in FY24 from INR 321.2 Cr in FY23

Celebrity chef Sanjeev Kapoor’s Wonderchef

turned profitable in the fiscal year 2023-24 (FY24) on the back of a healthy uptick in its top line. The D2C kitchenware and home appliance maker posted a net profit of INR 1.6 Cr during the year under review as against a loss of INR 51.8 Cr in FY23.

Revenue from operations jumped almost 20% to INR 377.7 Cr from INR 315.6 Cr in FY23. Including other income of INR 3.2 Cr, the company’s total revenue for FY24 stood at INR 380.9 Cr, up 18% from INR 322.4 Cr in FY23.

Founded by Kapoor and Ravi Saxena in 2009, Wonderchef sells kitchen essentials like coffee machines, chimneys, mixer grinders, cast iron pans, among other items. The Mumbai-based company sells its products through its website, ecommerce platforms as well as over 20,000 retail outlets globally, including multi-brand stores and modern trade outlets.

It has raised over $30 Mn to date from investors like Sixth Sense Ventures, Amicus Capital, Godrej Family Office and Malpani Group.

While the revenue for FY24 was under INR 400 Cr, Saxena said earlier he was eyeing a revenue of INR 800 Cr in FY25. Besides, in an interaction with PTI in June 2024, he claimed that Wonderchef’s sales in FY24 to be about INR 700 Cr.

Where Did The Company Spend In FY24?

While Wonderchef’s expenses grew, the pace of increase was lower than the rise in revenue.

Total expenditure zoomed 16.6% to INR 374.6 Cr from INR 321.2 Cr in FY23.

Procurement Cost: The company spent the highest amount in FY24 to purchase stock in trade. The procurement cost for the year under rose 25% to INR 251.64 Cr from INR 201.43 Cr in FY23.

Employee Benefit Expense: This was the second biggest expense, with spending on employee welfare and benefits rising 12.09% to INR 31.9 Cr from INR 28.5 in FY23.

Advertising & Promotional Expense: Wonderchef reduced its expenditure on advertisement and promotion by 26% to INR 16.9 Cr from INR 22.9 Cr in FY23.

Transportation Cost: The company’s spending under the head rose 8.20% to INR 17.05 Cr in the year under review from INR 15.75 Cr in FY23.

While Wonderchef competes against legacy brands like Morphy Richards and Kenwood in the kitchen appliances segment, it has also been facing competition emerging from the Indian startup ecosystem in the form of Zomato-backed Byondnxt and smart kitchen brand Beyond Appliances.

Despite this, it claims to have served more than 3 Cr customers across 20,000 pin codes and its products are available in over 10,000 retail outlets across the country.

Wonderchef’s products are also available in over 15 countries, including the US, the UK, Australia, Canada, Mauritius and Dubai, among others.