Logistics Unicorn Xpressbees’ FY22 Revenue Up 1.8X YoY To INR 1,930 Cr, Loss Narrows 57%

Pune-based logistics unicorn Xpressbees’ operating revenue soared 1.8X to INR 1,904.4 Cr in FY22 from INR 1,010.1 Cr in FY21 on the back of a strong growth in its business. 

The startup generates revenue by offering logistics, warehousing, and delivery services to its clients. It offers both B2C and B2B deliveries, along with cross-border logistics and 3PL services. Some of its major clients include Flipkart, Meesho, Snapdeal, MI, among others. 

Led by the rise in revenue from operations, Xpressbees’ total income grew 88% to INR 1,929.9 Cr during the year from INR 1,024.9 Cr in FY21.

Unlike other startups, the jump in operating revenue didn’t result in a rise in net loss for Xpressbees. The startup’s net loss declined over 57% to INR 27.1 Cr from INR 63.4 Cr in FY21. 

Total expenses jumped 80% to INR 1,957.1 Cr from INR 1,088.3 Cr  in FY21. Logistics cost or courier charges accounted for 78% of the total expenditure at INR 1,526.8 Cr, a jump of 88% from INR 813 Cr in FY21.

Employee benefit expenses rose 56% to INR 185.7 Cr from INR 119 Cr in the previous fiscal year. Employee benefit expenses comprise employee wages, PF contributions, gratuity, and other employee welfare benefits. An increase in employee benefit expenses indicates that the startup increased its employee headcount in the year under review. 

EBITDA margin turned positive in FY22, expanding to 2.33% from -1.95% in FY21.

Xpressbees, founded in 2015 after being spun off from ecommerce giant FirstCry, delivers goods to over 20,000 pin codes in the country. 

Xpreesbees entered the coveted unicorn club in January 2022 after raising $300 Mn in its Series F round led by private equity funds Blackstone Growth, TPG Growth, and Chrys Capital at $1.2 Bn valuation. 

The startup has raised more than $600 Mn in multiple rounds till date. It counts the likes of Investcorp, Norwest Venture Partners, and Alibaba Group among its investors. 

Xpreesbees competes against the likes of IPO-bound Ecom Express and Gurugram-based Delhivery. Ecom Express slipped in the red in FY22, reporting a loss of INR 91 Cr as against a profit of INR 43 Cr in FY21. Meanwhile, Delhivery’s net loss surged to INR 1,011 Cr in FY22 from INR 416 Cr in FY21. While Ecom Express’ revenue from operations jumped to INR 2,127 Cr in FY22, Delhivery reported sales of INR 6,882.2 Cr during the year.