Snapdeal Private Limited, India’s leading e-commerce marketplace, announced its
audited financial results for FY 2018-19, which show a strong all-round topline
and bottom line performance at the company.
As per regulatory documents filed by Snapdeal, its
consolidated revenues grew to INR 925.3 Crores in 2018-19 as compared to INR
535.9 in 2017-18, marking a sharp increase of nearly 73% in a 12-month period.
At the same time, Snapdeal also managed to significantly reduce its loss to INR
186 Crores in FY19 from INR 611 Crores reported in FY18 - a drop of nearly 71%.
The revenue from operations saw a healthy YoY jump of 87% - from INR 436.1 Crores (FY18) to INR 813.8 Crores (FY19).
In its filings the company shared, “This year we continued our focus on driving
growth with a lean and capital efficient foundation in the business. Our
operating revenue increased 87% YoY basis with a significant reduction of the
cost base. The Company achieved a significant milestone by achieving cash break
even in the month of June 2018 and also made the highest ever Net Revenue in
its history in the month of October 2018.”
These results are in line with Snapdeal’s stated strategy
of maximising the operating efficiency of the marketplace and pursuing growth
basis healthy unit economics.
In FY 2016-17, Snapdeal’s consolidated losses were INR
4638 Crores, which dropped 87% to INR 611 Crores in FY17-18 and then further
another 71% to INR 186 Crores in FY18-19.
In a blog posted on his LinkedIn account, Kunal Bahl, Snapdeal’s CEO & Co-foundersaid, “our transacting
customers grew 2.2X and traffic surged 2.3X to 70 million unique users/month.
And all this in a year when the e-commerce companies in India burnt through USD
2.5 billion in the pursuit of growth.”
Reiterating the neutral nature of Snapdeal’s marketplace,
Bahl added, “the doubling of our
orders in the last one year is actually a two-fold increase in the business of
the seller partners on our platform, the majority of whom are small businesses.
Each and every order is fulfilled on Snapdeal is by independent, third-party
In the last two years, Snapdeal has sharpened its focus
on the needs of the value-conscious buyers in India. More than 80% of its users
come from the small towns and cities of India. This market of nearly 400
million potential buyers is the fastest growing segment in Indian e-commerce.
In the last two years, Snapdeal has added 60,000+ new seller partners, who have
added over 50 Million new listings. Snapdeal now has more than 500,000
registered sellers, who have more than 200 million listings on the marketplace.