D2C Brand XYXX’s FY24 Loss Declines 21% To INR 35 Cr

D2C menswear brand XYXX managed to reduce its net loss for the financial year ended March 31, 2024 (FY24) by 21.16% to INR 35.4 Cr from INR 44.9 Cr in the previous fiscal year, as its top line grew and margins improved. 

The startup’s operating revenue jumped 24.15% to INR 128 Cr during the year under review from INR 103.1 Cr in FY23. 

Founded in 2017 by Yogesh Kabra, XYXX sells products across multiple categories such as underwear, loungewear and athleisure.

The startup sells its products via its website and online ecommerce platforms like Amazon and Flipkart. Besides, it also claims to have a pan-India presence with multi-brand outlets (MBOs) and exclusive brand outlets (EBOs) across more than 18,000 touchpoints in 150+ cities.

XYXX has raised a total funding of over $29 Mn till date. Most recently, it raised INR 110 Cr ($13.5 Mn) in its Series C funding round in May last year. It counts the likes of Sauce, DSG Consumer Partners and Trifecta Capital among its investors.

The Amazon-backed startup announced its first Employee Stock Ownership Plan (ESOP) buyback programme in April this year.  

Decoding XYXX’s Expenses

The D2C brand’s total expenditure grew 11.64% to INR 166.9 Cr in FY24 from INR 149.5 Cr in the previous fiscal year. 

Employee Benefit Expenses: The startup spent INR 28.1 Cr on employees during the year under review, an increase of 29.49% from INR 21.7 Cr in FY23. 

Advertising & Promotional Expenses: XYXX’s advertising and promotional expenses remained flat for the period at INR 40 Cr. 

Commission Paid To Other Selling Agents: The startup paid INR 12.1 Cr in commissions for FY24, up 16.35% from INR 10.4 Cr in FY23. 

XYXX’s EBIDTA loss for the year under review stood at INR 31 Cr as against INR 41.1 Cr in FY23. The startup’s EBITDA margin also improved three percentage points to -24% from -39% in FY23.