LeadSquared’s total income jumped 96% to INR 200.5 Cr in FY22 from INR 102.2 Cr in FY21
Total expenses surged 2.3X to INR 262.3 Cr from INR 113.3 Cr in FY21
LeadSquared became the country’s 103rd unicorn earlier this year after raising $153 Mn in Series C round
Bengaluru-based SaaS startup LeadSquared reported an over 5X increase in its consolidated loss to INR 62 Cr during the financial year 2021-22 (FY22) from INR 11.3 Cr in FY21 as the rise in its expenses outpaced the increase in total revenue.
Interestingly, the startup had narrowed its loss by 37% in FY21 from INR 17.8 Cr in FY20.
LeadSquared’s total revenue jumped 96% to INR 200.5 Cr in FY22 from INR 102.2 Cr in the previous year, while expenses rose 2.3X to INR 262.3 Cr from INR 113.3 Cr in FY21.
The WestBridge Capital-backed startup’s revenue from operations rose almost 2X to INR 193.4 Cr during the year from INR 99.4 Cr in FY21.
LeadSquared provides end-to-end sales, marketing, and onboarding automation solutions. The rise in sales of LeadSquared can be attributed to the increasing dependency of enterprises on customer relationship management (CRM) products to increase efficiency and establish fruitful relationship with customers. Besides, a large number of new-age businesses are automating their marketing and sales processes which could have also helped the unicorn’s sales.
The startup’s other income stood at INR 7 Cr in FY22 as compared to INR 2.8 Cr in FY21. Other income typically comprises interest earned on investments.
Employee Benefit Expenses Surge
The 131% jump in LeadSquared’s total expenses was led by a sharp jump in employee benefit expenses. The startup’s employee benefit expenses surged 2.2X to INR 142.1 Cr in FY22 and contributed 54% to the total expenses. Its employee benefit expenses stood at INR 62 Cr in FY21.
Employee benefit expenses usually comprise employee salaries, PF Contributions, gratuity, and other employee welfare benefits. The rise in employee benefit expenses is also an indicator of the increase in employee headcount.
LeadSquared spent INR 58 Cr on technical services in FY22 as against INR 24 Cr in FY21, while cost of legal professionals also rose to INR 13 Cr from INR 6.6 Cr in the previous year.
LeadSquared, founded in 2011 by Nilesh Patel, Sudhakar Gorti and Prashant Singh, with Sukhbir Kalsi joining as a founding member later, became the country’s 103rd unicorn in June this year. The startup was valued at over a billion dollars in its $153 Mn Series C round led by WestBridge Capital.
It is also backed by Gaja Capital and Stakeboat Capital. The startup counts Indian unicorns like Swiggy, Dunzo, and Cars24 among its clients.
LeadSquared competes with the likes of Zoho, Browserstack, Amagi, and Freshworks in the sales automation space.
