Unicorn startup Shiprocket's revenue rises 21% YoY to Rs 1,316 crore in FY24

Shiprocket, an ecommerce enablement startup, has reported a 21% YoY growth in operating revenue for fiscal year 2024, reaching Rs 1,316 crore. This marks a steady growth from its previous year's revenue of Rs 1,088.7 crore.

The startup reduced its cash EBITDA burn by ~50% (from Rs 191 crore in FY23 to Rs 100 crore in FY24).

It also announced that the first 2 quarters of this financial year ending September 2024 are already profitable, positioning it well ahead of its goal to achieve full profitability by FY 2025.

Is it profitable?

No, Shiprocket is not profitable as it reported a net loss of Rs 595 crore, which is driven by three main factors: a non-cash, one-time restructuring and integration-related accounting impact of Rs 244 crore linked to its acquired entities, substantial ESOP issuances worth Rs 192 crore as part of its commitment to employee-centric initiatives, and significant investments in emerging businesses, overheads, and capability-building efforts. 

“FY24 has been a transformative year for Shiprocket, marking a pivotal milestone in our journey towards building India’s most comprehensive tech stack for SMBs, including Shiprocket Capital, Shiprocket Checkout, Shiprocket Quick, Shiprocket Cargo and our Cross Border Platform while continuing our efforts to innovate and support the evolving needs of our merchants," said Saahil Goel, MD and CEO of Shiprocket. 

Restructuring and expansion of business segments

Shiprocket underwent a major restructuring in FY23, integrating several of its acquisitions, including Pickrr, Wigzo, and Omuni.

The restructuring allowed the startup to strengthen its core operations and scale its emerging business segments, such as cross-border shipping, checkout services, and fulfilment.

"We successfully concluded the integration and restructuring of our acquired businesses, ensuring a smooth transition that strengthened our core operations. This year, our focus has been on scaling the business sustainably and launching cutting-edge tech solutions that simplify the eCommerce landscape for SMBs. Our strategic partnerships, including those with ONDC, DGFT and India Post have been crucial in providing greater access and support to merchants across Bharat," Goel noted.

As part of its future strategy, Shiprocket is focused on expanding key emerging areas, including Cross-Border Enablement for Brands, Shiprocket Quick, Shiprocket Checkout, and Shiprocket Capital,