Fintech firm Instamojo, which reported a loss of Rs 1.1 crore last year, has reportedly become profitable, recording a profit of Rs 8.26 crore in the financial year 2023.
Despite shutting down its core payment business, the firm maintained a steady operational revenue of Rs 46 crore, YourStory reported, citing the company's annual filings. The revenue from operations was almost identical to the Rs 46.6 crore reported in FY22.
Over the past two to three years, Instamojo repositioned itself from a fintech startup to a Direct-to-Consumer (D2C) technology platform.
The company's profitability in FY23 can be attributed to significant reductions in expenses, which dropped from Rs 48 crore to Rs 38.12 crore in FY23. Apart from this, Employee benefit expenses were reduced by Rs 4 crore, and other expenses, including marketing and legal fees, also decreased.
Several Indian startups, which have reported losses for the past few years, are now focusing on reducing their cash burn to achieve profitability.
Read Full Story
{{ primary_category.name }}