The company, which undertook a restructuring in FY23 when it merged several of its acquisitions, saw a continued impact of this on its bottom line as net loss widened to Rs 595 crore for the fiscal year ended March 2024, compared with Rs 341 crore in the year before.
Shiprocket was operationally profitable on a cash basis in the first two quarters of the ongoing financial year, Goel said, adding that he expects full profitability by the end of FY25.
“Our focus continues to be on the core business while generating more profits…the emerging businesses are growing fast and we’re doubling down on segments such as cross-border shipping and checkout,” Goel said.
He said the company’s emerging businesses, which include cross-border services, checkout and fulfilment have grown by 70-100% year-on-year. These segments now contribute nearly a fifth to the company’s revenue.
Shiprocket has not yet filed its financial statements with the Registrar of Companies.
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In May, ET reported that the Gurgaon-based company, which hit $3 billion in gross merchandise value (GMV) for FY24, was targeting revenue from additional services for online sellers, such as marketing, sourcing, payments and lending.Currently, a major chunk of its revenue comes from shipping services, which it provides to direct-to-consumer (D2C) brands selling online.
“With over $400 million in GMV from checkout alone, the numbers are scaling rapidly. Cross-border commerce is also growing as Indian merchants increasingly sell globally, tapping into international demand for products like jewellery, Ayurveda and spiritual items,” Goel said.
For FY23, the company had reported a 78% year-on-year jump in operating revenue as a result of the mergers. However, its net loss had also significantly widened.
In FY24, its Rs 595 crore net loss included a one-time restructuring- and integration-related non-cash accounting impact of Rs 244 crore.
Over the last few years, Shiprocket has made several acquisitions. These include retail software-as-a-service (SaaS) platform Omuni from Arvind Internet, ecommerce logistics solutions player Pickrr, omnichannel user engagement platform Wigzo and supply chain management firm Glaucus.
“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 small and medium businesses,” Goel said.
Shiprocket reduced its cash burn by about half during FY24 compared with FY23, he said.
Moving forward, he said Shiprocket’s strategic focus will be on expanding key emerging areas, including cross-border enablement for brands, intracity rapid delivery service Shiprocket Quick, checkout services and its revenue-based financing offering, Shiprocket Capital.
The company, which counts Temasek, Lightrock and Tribe Capital among its investors, became a unicorn in 2022 when it raised $32 million at a valuation of $1.3 billion.
It is currently in discussions to close a $75 million funding round led by Tribe Capital at a flat valuation, comprising a mix of primary and secondary capital.