BigBasket's Revenue Crosses Rs 7,000 cr in FY22, Losses Jump Four Times

The company generated Rs 173 crore in advertisement revenue, which was absent in the previous financial year.
BigBasket's Revenue Crosses Rs 7,000 cr in FY22, Losses Jump Four Times

Tata-owned Innovative Retail Concepts, which runs the online grocery platform BigBasket, has posted a 17 percent rise in its revenue for 2021-22 at Rs 7,098 crore. Still, its losses spiked four times to Rs 812 crore, according to its regulatory filings accessed through Tofler. 

Its total expense jumped 26 percent on year to Rs 7,931 crore in FY22. BigBasket runs on an inventory-led model and its biggest expense was the cost of goods, which increased 7 percent to Rs 5,807 crore. 

The company generated Rs 173 crore in advertisement revenue, which was absent in the previous financial year. Advertisement revenue is generated by asking brands to buy banner slots on the app's home page or by buying top slots when a customer searches for a keyword. 

During the summer, the parent company infused about Rs 1,350 crore into Innovative Retail Concepts as Tata was promoting its super app aggressively during the Indian Premier League.

While it competes with bigger players like Amazon, Flipkart, and Reliance in the same-day and next-day delivery space, it is fighting upstarts like Zepto, Reliancebacked Dunzo, Swiggy Instamart, and Blinkit in the quick commerce model.

Innovative Retail Concepts is a subsidiary of Supermarket Groceries Pvt Ltd, which also has a business-to-business vertical. The company may see its revenue climb to $1.3 billion and is being internally valued between $4-5 billion by Tata Digital.

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