Its net loss, however, more than tripled to Rs 23.06 crore from Rs 7.53 crore during the same period as expenses ballooned to Rs 99.95 crore in FY23 from Rs 24.72 crore in FY22, the Fireside Ventures-backed company said in its statutory filing with the Registrar of Companies (RoC).
In FY23, Pilgrim incurred Rs 52.50 crore of marketing expenses, up from Rs 11.83 crore in FY22. The marketing expense in FY23 was 68% of the Mumbai-based company’s operating revenue.
According to a joint study by Redseer Strategy Consultants and Peak XV Partners, India’s beauty and personal care (BPC) market is projected to outpace other global markets to grow at a compounded annual growth rate (CAGR) of 10% between 2022 and 2027 to reach a size of $30 billion.
Pilgrim competes with larger BPC players such as Mamaearth, Purplle, Sugar Cosmetics, Myglamm and Mcaffeine in addition to a number of younger direct-to-consumer brands that have mushroomed in this space.
Founded in 2019 by the IIT alumni Anurag Kedia and Gagandeep Makker, Pilgrim raised $20 million in September in a funding round led by Vertex Ventures Southeast Asia and India.
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The round also saw participation from its existing investors Fireside Ventures and Narotam Sekhsaria Family Office. Around $14 million of the total round came from a primary share sale, while the remaining was in a secondary transaction. At the time, the company had said that it aims to achieve an annualised revenue run rate (ARR) of Rs 1,000 crore by 2025.Pilgrim had also said it planned to open five exclusive outlets by the end of this year in cities including Mumbai, Chennai, Bengaluru, and New Delhi.
As of September, its offline presence comprised the availability of its products in 300 partner stores selling beauty and personal care (BPC) products.