SoftBank-Backed ElasticRun’s FY23 Loss Doubles To INR 619 Cr

SoftBank-Backed ElasticRun’s FY23 Loss Doubles To INR 619 Cr

SUMMARY

ElasticRun saw a YoY increase of 24.71% to INR 4,754.86 Cr from INR 3,812.65 Cr in FY22

It generated revenue of INR 4,383.39 Cr through sales of products in FY22, whereas it earned INR 368.34 Cr through sale of services

It’s total expenditure surged 30.65% YoY to INR 5,469.91 Cr from INR 4,186.66 Cr in FY22.

Business-to-business ecommerce solutions provider ElasticRun has nearly doubled its losses in the financial year 2023. The Pune-based unicorn has incurred a net loss of INR 618.82 Cr against a loss of INR 358.59 Cr in FY22, a 72.57% YoY increase.

Meanwhile, the startup’s revenue from operations saw a YoY increase of 24.71% to INR 4,754.86 Cr from INR 3,812.65 Cr in FY22. Further, the total revenue saw a YoY increase of 26.71% to INR 4,851.09 Cr from INR 3,828.24 Cr in the previous fiscal.

Founded in 2016 by Sandeep Deshmukh, Saurabh Nigam and Shitiz Bansal, ElasticRun’s tech platform acts as an extended arm of FMCG companies’ direct distribution networks in rural areas and enables these businesses to reach kirana stores in the hinterland.

The startup generates revenue through its tech platform which acts as an extended arm of FMCG companies’ direct distribution networks in rural areas and enables these businesses to reach kirana stores in the hinterlands of the country. It also offers logistics and warehousing services to these small businesses.

ElasticRun generates the majority of its revenue by selling products. It procures products from FMCG brands and sells them directly to local retail stores in rural areas.

As per its filings with the Ministry of Corporate Affairs, ElasticRun generated revenue of INR 4,383.39 Cr through sales of products in FY22, whereas it earned INR 368.34 Cr through sale of services.

The Expense Breakdown

ElasticRun’s total expenditure surged 30.65% YoY to INR 5,469.91 Cr from INR 4,186.66 Cr in FY22.

Increased employee benefit expenses: The company registered a YOY increase of 71.99% in employee benefits to INR 345.26 Cr from INR 200.74 Cr in FY22.

More than doubled finance costs: The finance costs saw a YoY increase of almost 2X, as it reached INR 8.08 Cr from INR 3.91 Cr in FY22.

Meanwhile, the company’s cash & cash equivalents at the end of March 31, 2023, saw a YoY decrease of 91.33% to 101.45 Cr from INR 1170.57 Cr in FY22.

In February last year, ElasticRun raised $330 Mn in funding led by SoftBank Vision Fund 2 and Goldman Sachs Asset Management. This was the round which marked its entry into the unicorn club. Overall, the unicorn has raised a total funding of $434.8 Mn and also counts Avataar Venture Partners, Prosus Ventures, Kalaari Capital, Innoven Capital and Abu Dhabi’s Chimera Investment, among others, as its investors.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

2 YEAR PLAN
₹19999
₹7999
₹333/Month
Unlock 60% OFF
Cancel Anytime
1 YEAR PLAN
₹9999
₹4999
₹416/Month
Unlock 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

SoftBank-Backed ElasticRun’s FY23 Loss Doubles To INR 619 Cr-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

SoftBank-Backed ElasticRun’s FY23 Loss Doubles To INR 619 Cr-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

SoftBank-Backed ElasticRun’s FY23 Loss Doubles To INR 619 Cr-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

SoftBank-Backed ElasticRun’s FY23 Loss Doubles To INR 619 Cr-Inc42 Media
SoftBank-Backed ElasticRun’s FY23 Loss Doubles To INR 619 Cr-Inc42 Media
You’re in Good company