Blinkit, previously known as Grofers, has reportedly experienced a significant financial upturn in the fiscal year 2023. After being acquired by foodtech giant Zomato in an all-stock deal valued at $568 million at the onset of FY23, the acquisition appears to have positively influenced Blinkit's financial growth.
Blinkit's revenue growth
Following its acquisition, Blinkit's revenue from operations skyrocketed, reaching Rs 724.2 crore in FY23 from Rs 236.1 crore in FY22.
According to an Entrackr report, the growth is largely attributed to marketplace commissions, which accounted for 55.9% of the total operating collection. Additionally, advertising solutions on its mobile app, combined with revenue from delivery and supporting services, played a key role in the revenue growth.
What about the expense?
While Blinkit saw a significant revenue boost, its expenses also saw an increase. Delivery and related charges made up 29.2% of the total expenses. Other major contributors to the overall expenditure of Rs 1,939 crore in FY23 included employee salaries, advertising, rentals, and outsourcing manpower costs.
Blinkit's Rs 1,190Cr loss
Blinkit's losses expanded to Rs 1,190 crore in FY23, up from Rs 1,021 crore in FY22. However, when considering non-cash items like the loss of valuation of share warrant and CCPS, the loss was limited to Rs 1,078.9 crore in FY23. Blinkit's ROCE and EBITDA margins for FY23 stood at -213.59% and -119.79%, respectively.