Crofarm Agriproducts Pvt Ltd, the parent company of Otipy, recorded a remarkable 56% surge in its revenue from operations during the fiscal year 2022-23. The figures escalated from Rs 61.84 crore in the previous year to an impressive Rs 96.43 crore.
However, amidst this substantial revenue growth, the company faced a challenging financial scenario with losses exceeding Rs 100 crore in FY23. This loss soared by 49% from the previous fiscal year, where the losses stood at Rs 67.29 crore. These figures, extracted from the earning report’s standalone statistics, paint a contrasting picture of significant revenue success alongside escalating losses for the company.
In February, media reports unveiled the ambitious goals set. The company aimed to achieve an Annual Recurring Revenue (ARR) of Rs 200 crore by the end of March 2023, marking a threefold growth over the preceding year. However, the losses suggest that despite the impressive revenue growth, the financial performance fell short of the company’s expectations.
Furthermore, the Founder of Otipy, Varun Khurana, expressed optimism about the company’s future, stating an anticipated revenue surpassing Rs 230-240 crore in the upcoming fiscal year, FY24. The costs surged by 84%, escalating from Rs 26.65 crore in the previous fiscal to Rs 41.66 crore in FY23.
The total expenditure for the company surpassed Rs 204.46 crore in FY23, witnessing a significant increase of 54% from Rs 132.09 crore in FY22. Marketing expenses rose by over 65%, reaching Rs 34.85 crore in the past fiscal year. Additionally, Crofarm’s loans escalated from Rs 35.94 lakh in FY22 to Rs 6.86 crore in FY23, marking a substantial increase. The outstanding loans, including those to its subsidiary Otipy Internet Private Ltd., soared to Rs 36.86 crore, experiencing a 2.7 times surge from the previous fiscal year’s Rs 13.52 crore.
Crofarm’s financial journey in FY23 portrays a complex narrative of revenue growth coupled with substantial monetary losses. These figures signal a challenging yet transformative period for the company, poised for growth despite the financial setbacks.
