Sachin Bansal-led Navi Technologies has turned profitable for the year ending March 31, 2021. The insurance aggregator startup has posted a profit of INR 71 Cr in FY21, a significant improvement after incurring a loss of INR 8 Cr in FY20.
The three-year-old startup saw its total income rise by 252% from INR 221 Cr in FY20 to INR 780 Cr in FY21. While the Mumbai-based startup drastically reduced its other income from INR 22 Cr in FY20 to INR 9 Cr in FY21, its revenue from operations grew to 779 Cr in FY21 from INR 198 Cr in FY20.
However, the startup’s expenses went up by 208% in FY21. Navi clocked a total expense of INR 673 Cr in FY21 as compared to INR 218 Cr in FY20. In expenses, Navi’s depreciation, depletion and amortisation expense grew by 355% to INR 40 Cr in FY21 from INR 8.9 Cr in FY20.
The employee benefit expense surged to INR 169 Cr in FY21 from INR 61 Cr in FY20.
Founded by Bansal and his former Flipkart colleague Ankit Agarwal in 2018, Navi operates in lending, general insurance, mutual funds and microfinance. In June this year, Navi launched a monthly subscription EMI-based insurance product instead of the usual annual premium that insurance providers demand.
The startup during the launch of this EMI-based insurance product said that the insurance policies can be purchased at EMIs starting as low as INR 240 per month.
Navi offers health insurance cover ranging from INR 2 Lakh to INR 1 Cr for individuals and families.
It also entered the mutual fund business earlier this year. In this, the startup announced the launch of Navi Nifty 50 Index Fund, its first ever mutual fund (MF) product.
Navi is also awaiting an approval from Reserve Bank Of India for an universal banking license.
While Navi competes against insurtech heavy giants like Policybazaar, Digit, newly turned unicorn Acko in the insurance space, it competes against the likes of Paytm, Groww, Upstox, and Zerodha in the mutual fund space too.