Koo and Vokal’s parent Bombinate Technologies posted a loss of INR 35 Cr in FY21
It’s (Bombinate Technologies’) revenue from earnings in FY21 stood at INR 7.76 Lakh
The startup has spent INR 24.7 Cr in FY21, a 75% rise from INR 14.1 Cr it shelled in FY20
Twitter alternative Indian platform Koo and vernacular QnA app Vokal’s parent Bombinate Technologies has posted a loss after tax of INR 35.18 Cr in the financial year ending on March 31, 2021.
The loss in FY21 is a 190% rise or almost a 3X increase from INR 12 Cr it incurred in FY20.
In FY21, the startup recorded INR 7.76 lakh in revenues from operations. Under its other income, which comprises interests on bank deposits, miscellaneous income, and other investments, it recorded INR 70 lakh in earnings, thus taking the total revenue to INR 78 lakh.
However, in FY20, Bombinate Technologies’ revenue from operations was nil, whereas its other income stood at INR 1.9 Cr.
The Bengaluru-based startup spent a total of INR 24.7 Cr in FY21, a 75% rise from INR 14.1 Cr it shelled in the financial year ending on March 31, 2020.
While it spent INR 9 Cr on employee benefits, its other expense stood at INR 15 Cr. The startup has spent INR 11 Cr for ‘prior period expenses’ which includes write off intangible assets and expenses on ESOP schemes.
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Under its other expenses, the startup spent INR 7 Cr on advertisements and business promotions, INR 4 Cr for technology, and INR 1 Cr for legal and professional fees. It is worth noting that Koo has only spent INR 2 Cr for advertising in FY20.
As per the Ministry of Corporate Affairs’ website, Bombinate Technologies was incorporated in 2015. Vokal started its operations in the same year and has managed to raise $11 Mn across multiple rounds. Bombinate’s other product – Koo started operations in 2020 and has managed to raise over $30 Mn across two rounds.
It is worth mentioning that Koo was one of the winners of the ‘Atmanirbhar Bharat App Innovation Challenge’ in August 2020.
Koo became an instant favorite among union ministers, Bollywood celebrities, and renowned journalists when the central government lambasted Twitter over Republic Day violence last year.
The altercation between centre and Twitter which continued for a few months longer over the Intermediary Guidelines and Digital Media Ethics Code Rule, further propelled more users to join Koo.
Koo, which has over 15 Mn users, has last raised $30 Mn in its Series B round led by Tiger Global. The round which was announced in July last year also saw participation from Accel Partners, Kalaari Capital, Blume Ventures, Dream Incubator, IIFL, and Mirae Assets.
Last year, the startup raised $4.1 Mn in its Series A round led by 3One4 Capital with the participation of Accel Partners, Kalaari Capital and others. The startup also counts angel investors such as BharatPe’s Ashneer Grover, former cricketer Javagal Srinath, BookMyShow’s Ashish Hemrajani, Flipkart CEO Kalyan Krishnamurthy, among others.