SUMMARY
Yu and Hardik inked an agreement to promote the brand in India and across the globe
The startup claims to earn 40% of its sales from online channels, 10% from exports and the remaining 50% is equally divided between offline and online channels
It said that in Q1 FY24, it is selling about 2 Mn units and clocking revenue of INR 14-15 Cr. It also claims to be scaling at a rate of 75% quarter-on-quarter (QoQ)
D2C food startup Yu has secured equity investment from Indian cricketer Hardik Pandya. The cricketer also has joined the startup as its brand ambassador.
As part of the deal, Yu and Hardik inked an agreement to promote the brand in India and across the globe.
Founded by Bharat Bhalla and Varun Kapur, Yu offers breakfast meal bowls, lunch and dinner. It sells instant noodles, pastas, desserts and halwa. It is presently looking to extend its product portfolio by launching about 8-10 products in the next 12 months.
Yu has 24,000 sq ft integrated warehouse facility in Gurugram and further, claims to have doubled revenue in the last six months. It has also tied up with various airlines including SpiceJet and Akasa Air to offer instant meals to consumers.
“Hardik Pandya has participated with a minority investment in the company with the objective of creating long-term value. Funds from the investment will be used towards launching the brand’s maiden campaign during the ongoing IPL season as well as the upcoming ICC World Cup in India later this year,” said Bharat and Varun.
The startup claims to earn 40% of its sales from online channels, 10% from exports and the remaining 50% is equally divided between offline and online channels.
Yu said that in Q1 FY24, it is selling about 2 Mn units and clocking revenue of INR 14-15 Cr. It is also scaling at a rate of 75% quarter-on-quarter (QoQ).
Further, the startup offers 15 SKUs and currently, has presence in 4000+ offline stores, ecommerce and quick commerce segments. It has presence in 100+ academic campuses and exports to South Africa, the US, and Singapore.
“What Bharat and Varun have done at Yu is truly exceptional! To make packaged foods without any chemicals or preservatives that still taste as good as fresh is remarkable. Yu is a highly purpose-driven brand that is bringing a revolution in the packaged food space through its diversified product categories,” Hardik Pandya said.
In 2022, Yu secured INR 20 Cr in Series A funding round led by ace investor Ashish Kacholia. Asian Paints Promoter Group and DPIITs Startup India Seed Fund also participated in the round.
In India, it competes with the likes of D2C brands such as Buddha Bowls, The Bowl Company and The Meal Bowl, among others.
As per an Inc42 report, the country’s D2C market is expected to become a $200 Bn space by 2026.
