OfBusiness Posts INR 463 Cr Profit In FY23, Revenue Crosses INR 15,000 Cr Mark

Delhi-NCR based B2B marketplace OfBusiness’ revenue from operation crossed the INR 15,000 Cr mark in the financial year ended March 31, 2023. The unicorn marketplace reported an operating revenue of INR 15,342.5 Cr in the financial year 2022-23 (FY23), an increase of 115% from INR 7,139.5 Cr in the previous fiscal year.

Founded in 2016 by Asish Mohapatra, Ruchi Kalra, Vasant Sridhar, Bhuvan Gupta and Nitin Jain, the startup generates revenue by selling raw materials for manufacturing and infrastructure sectors. 

Including other income, OfBusiness’ total revenue rose 115% to INR 15,658.5 Cr in FY23 from INR 7269.3 Cr in FY22. 

The startup, which entered the unicorn club in 2021 after raising $160 Mn in a round led by SoftBank, also saw its net profit surging 130% to INR 463.2 Cr in FY23 from INR 201.1 Cr in the previous fiscal year. 

A Sneak Peek Into OfBusiness’ Expenses 

In line with the rise in its operating revenue, the startup’s total expenditure almost doubled to INR 15,037.4 Cr during the year under review from INR 6,993.5 Cr in FY22.

Procurement Cost The Biggest Expense: OfBusiness’ procurement cost of INR 13,970.7 Cr accounted for 93% of its total expenditure. Procurement cost increased 106.5% from INR 6,764.1 Cr in FY22. 

Employee Benefit Expenses: The startup’s employee benefit expenses increased 2.6X to INR 326.6 Cr in FY23 from INR 121.9 Cr in the previous fiscal year. It currently has around 1,074 employees.

EBITDA margin improved to 6.3% in FY23 from 2.3% in FY22. 

Besides the ecommerce platform, OfBusiness also operates BidAssist, a platform that helps enterprises and SMEs find tender information from across 200 countries, including India. The platform now has over 1.2 Mn registered users. 

Recently, OfBusiness also launched a mobile app OfBusiness Mandi, which allows SMEs to track raw material prices, news, and do real-time tracking.

OfBusiness has raised $878 Mn till date and counts marquee investors like SoftBank, AlphaWave Global, Tiger Global, and Norwest Venture Partners among its backers. 

OfBusiness’ financial services arm Oxyzo, which provides credit solutions to SMEs, reported a profit of INR 198 Cr in FY23 on an operating revenue of INR 570 Cr. 

OfBusiness competes against the likes of Moglix and Infra.Market. 

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.