For FY24, Wakefit claims to have registered an EBITDA profit of INR 65 Cr
It also claimed to have witnessed a 24% jump in its revenue in the fiscal, touching INR 1,017 Cr
In FY23, the startup reported a net loss of INR 146 Cr, up 37% from the INR 107 Cr loss it incurred in FY22
Coming off of a loss-making fiscal, Bengaluru-based D2C furniture and mattress startup Wakefit
claims to have attained EBITDA profitability in the fiscal year 2023-24 (FY24).
In a statement, the startup claimed to have registered an EBITDA profit of INR 65 Cr in the fiscal.
With this, it said to have managed to return back to profitability for the first time in the past four years. Besides, it also claimed to have witnessed a 24% jump in its revenue in the fiscal, touching INR 1,017 Cr.
Pertinent to note that the startup didn’t disclose the profit or loss it incurred in the fiscal. Inc42 couldn’t independently verify the company’s financial report for FY24.
“Returning to profitability with an EBITDA of INR 65 crore is a testament to the resilience of our business model and the efficiency of our operations. As we prepare for the next phase, we will focus on sustaining this profitability while scaling our business, ensuring that our long-term growth trajectory remains strong,” Wakefit’s cofounder and CEO Ankit Garg said.
Founded in 2016 by Garg and Chaitanya Ramalingegowda, Wakefit offers a range of sleep and home-related products, including mattresses, pillows, bed frames, mattress protectors, sofas, study tables, bookshelves, shoe racks, and TV units.
Since inception, the startup says that it has served over 8.5 Mn customers. The startup has raised over $148 Mn since inception from the likes of Investcorp, Peak XV, Investcorp.
The startup also expanded into home decor, lighting, furnishings, among others to expand its portfolio to over 100 categories.
In addition to its own website, the startup distributes its products through retail stores and e-commerce marketplaces such as Flipkart and Amazon. Moving forward, Wakefit said that it will work on building its offline presence. The startup plans to increase its store count to 120 from the current 80 stores across 26 cities in the next six months.
The Peak XV-backed startup claims profitability in the fiscal year after it plunged deeper into losses in FY23. For the fiscal prior, the startup reported a net loss of INR 146 Cr, up 37% from the INR 107 Cr loss it incurred in FY22.
In the prior fiscal, its revenue from operations stood at INR 813 Cr, up 28% from FY22. Further, its total expenses increased 30% to INR 965.6 Cr in FY23 from INR 743.5 Cr in the previous fiscal year.
While cost of material was the biggest contributor in the startup’s expenses in the previous fiscal, its advertising expenses also went up in the fiscal. The startup spent INR 95.9 Cr in FY23 for brand building, up 57% from the previous fiscal.
As a result, the startup claims that its “top of mind awareness” grew by nearly 40% in FY24. It said that it will double down on its brand building exercise moving forward to fuel its next stage of growth.
