Delhi NCR-based logistics unicorn Shiprocket has reported a significant increase in its operating revenue for the financial year ending March 31, 2023.
The newly-minted unicorn Shiprocket's operating revenue surged 78% to Rs 1,089 crore, while its net losses expanded 3.6 times to Rs 341 crore from last year's Rs 93.1 crore.
Shiprocket's increased losses are mainly due to its aggressive acquisition strategy, including the purchase of Omuni for Rs 200 crore and competitor Pickrr for $200 million.
Shiprocket's heightened losses are linked to recent acquisitions, including Wigzo and Glaucus's first full operational year, with parent Bigfoot Retail absorbing a Rs 184 crore loss due to these deals.
The logistics unicorn's costs surged, with employee benefits up 160% to Rs 318 crore, including Rs 88 crore for ESOPs, and exceptional costs of Rs 71 crore due to investments and acquisitions.
Despite these figures, Saahil Goel, Co-founder and CEO of Shiprocket maintains that the core business remains profitable and that the acquired companies are now on a growth trajectory with improved profitability projected for the current financial year (FY24).
Shiprocket has not shied away from expanding its business through strategic acquisitions. In the past year, the logistics unicorn has acquired five startups, including ROCKETBOX, Glaucus, Wigzo, Pickrr, and Omuni.