Jumbotail’s Loss Narrows To INR 43.9 Cr In FY21, Revenue Rises Over 8%

Bengaluru-based B2B food and ecommerce marketplace Jumbotail’s loss after tax narrowed over 32% to INR 43.9 Cr in FY21 from INR 64.8 Cr in FY20 on the back of improvement in its operating performance.

The startup’s total consolidated revenue grew 8% year-on-year (YoY) to INR 127.5 Cr during the pandemic-ridden financial year 2020-21 (FY21). It had reported a total revenue of INR 118 Cr in FY20.

Besides, the startup’s expenses declined to INR 171.4 Cr in FY21 from INR 182.9 Cr in FY20. 

Revenue Breakdown

The Kalaari Capital-backed started reported sales worth around INR 123 Cr during FY21, a jump of 8.8% from INR 113 Cr in FY20. One of the reasons behind the increase in sales of Jumbotail could be the pandemic. As wholesale markets remained shut due to the lockdowns, retail stores (kirana stores) mostly relied on online platforms to replenish their stocks. 

Jumbotail runs an online B2B marketplace for food and groceries, primarily catering to wholesale buyers. It sells dietary staples, spices, dry fruits, packaged foods and FMCG products to traders. The startup has also started offering retail-as-a-service with PoS integration for mom-and-pop stores. 

Decoding The Expenses 

Jumbotail’s expenses fell 6.2% to INR 171.4 Cr in FY21 on the back of a sharp drop in its other expenses. 

Other expenses, which mostly consisted of contractual employee expenses, transportation expenses, recruitment expenses, rent, software and subscription expenses, among others, declined by almost 12.6% to INR 48.5 Cr from INR 55.8 Cr in the previous fiscal year. 

Employee benefit expenses, which mostly comprise employee salaries, PF contribution, gratuity and other employee welfare related expenses, saw a minor drop to INR 21.2 Cr from INR 22.4 Cr in FY20.

Founded in 2015 by S Karthik Venkateswaran and Ashish Jhina, Jumbotail competes against the likes of Bengaluru-based Udaan, and Tata-backed BigBasket among others. 

Last year, the startup raised $85 Mn in its Series C round led by Artal Asia. The round also saw participation from Nexus Venture Partners, Kalaari Capital, among others.  

Marico, Mars Wrigley, and Reckitt Benckiser are some of the major FMCG brands the startup works with. During its last fundraise, the startup claimed that it connects over 2,000 FMCG and other brands and sellers with more than 150K kirana stores across 38 cities and towns in the country.