The Bangalore-based firm, a pioneer in the e-grocery space, earned Rs. 7,434.4 crore in operating revenue in FY 2023, it said in its financial filings. The revenue gain was mostly driven by a 4.3% rise in revenues from sale of products, which stood at Rs. 7,175 crore for the year. The next largest source of revenue, advertising, saw a 30% jump to Rs. 230 crore.
Procurement of goods was the biggest cost, increasing 2.4% from a year ago to Rs. 5,969 crore. Spending on employee benefits surged 21% to Rs. 916 crore, while advertising expenses roughly doubled to Rs. 385 crore.
The continued losses for the nearly 13-year-old firm come as it faces intense competition in both grocery delivery as well as relatively new verticals like quick commerce.
In grocery delivery, BigBasket’s biggest competitors include conglomerates like Reliance Jiomart as well as startups like Dunzo. The quick commerce division, BB Now, fights in a high-cashburn ecosystem and is up against the likes of Zomato-backed BlinkIt and Swiggy Instamart.
Salt-to-steel conglomerate Tata Group had acquired a majority stake in BigBasket in 2021, buying out the entire stake of largest shareholder Alibaba, and valuing the company between $1.5 billion and $2 billion. BigBasket raised a further $200 million in new funding from parent Tata Digital and a few others in December 2022, at a heightened valuation of $3.2 billion.
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