Fintech Unicorn Oxyzo’s FY23 PAT Jumps Over 2.8X To INR 198 Cr

Fintech unicorn Oxyzo’s consolidated profit after tax (PAT) almost tripled to INR 197.5 Cr in the financial year 2022-23 (FY23) from INR 69.3 Cr in the previous fiscal year on the back of strong growth in its loan book and diversification of customer base. 

Oxyzo, the financial arm of B2B ecommerce marketplace OfBusiness, also reported an 82% jump in its operating revenue to INR 570 Cr in FY23 from INR 312.97 Cr in FY22, as per its financial statement reviewed by Inc42.

In a statement, Oxyzo said its asset size stood at INR 5,578 Cr in FY23 and its loan book stood at over INR 4,800 Cr.

Commenting on its financial performance, Oxyzo CEO Ruchi Kalra said, “We crossed loan book of INR 4,800 Cr, driven by our strong origination capabilities maintaining a GNPA (gross non-performing assets) of less than <1%, reflecting our sound risk management capabilities. We expect to cross INR 8,200 Cr AUM (assets under management) in FY24, building on our core, scaling our investments and further diversifying through partnerships.” 

Launched in 2016 by OfBusiness founders Kalra and Asish Mohapatra, Oxyzo provides cash flow and matched working capital financing for buying new materials for SMEs in the manufacturing and contracting sectors. 

The startup aspires to build a full suite of financial offerings in the B2B space – from lending to capital markets. Oxyzo has been diversifying its customer base to include micro, small-medium enterprises, mid-corporates, new economy and financial institutions. 

Besides organic growth, Oxyzo is also looking to scale further through channel and co-lending partnerships with other financial institutions.

Oxyzo said it recently expanded into the micro-enterprise lending segment through its investment in ZIEL Financial Technologies, which has a network of over 75 branches in Rajasthan, Uttar Pradesh, Haryana, Uttarakhand, and Punjab.

The startup said it ended FY23 with a net worth of INR 2,300 Cr with post-tax Return on Assets (RoA) of 4.5% and GNPA of 0.9%.

On the expenses front, Oxyzo’s highest expenditure was towards finance costs. It rose to INR 183.3 Cr in FY23 from INR 143 Cr in FY22. Overall, the startup’s total expenses shot up about 42% to INR 309.4 Cr from INR 218.13 Cr in FY22.

Oxyzo also spent almost INR 78 Cr towards employee benefits during the year as against INR 45.8 Cr in FY22.

In May last year, the startup also announced a new ESOP pool worth about INR 380 Cr for its employees. 

Oxyzo entered India’s unicorn club in March last year after raising a funding of $200 Mn from Tiger Global, Norwest Venture Partners, Alpha Wave, Matrix Partners, and Creation Investments.