SUMMARY
- Servify’s operational revenue rose 23.6% YoY to Rs 755 crore in FY24 from Rs 611 crore in FY23.
- Its expenses totaled Rs 859 crore in FY24, rising 1.4% YoY from Rs 847 crore in FY23.
- Servify managed to reduce its losses by 59%, from Rs 229 crore in FY23 to Rs 94 crore in FY24.
Post-sales service firm Servify‘s operational revenue rose 23.6% YoY to Rs 755 crore in FY24 from Rs 611 crore in FY23, as detailed in its annual financial reports.
Servify offers after-sales support for a variety of products, including mobile devices, gadgets, electronics, and home appliances. It enables customers to keep their purchase receipts and access official services for their products, both before and after the warranty period.
The majority of Servify’s operating income, 87.8%, comes from its white-labeled protection plans, which saw a 19.2% increase to Rs 663 crore in FY24. Additionally, earnings from the sale of mobile handsets and spare parts surged by 66%, reaching Rs 91 crore during the same period.
Servify’s India operations are its leading source of income, contributing 56.8%, followed by the United States of America at 38.6%.
For Servify, the expenses related to materials, such as protection plans and mobile handsets, accounted for 66.8% of its total costs. These expenses increased by 4.6%, reaching Rs 574 crore in FY24.
The Blume Ventures-backed company also saw a decrease in its employee benefits expenses by Rs 158 crore, from the previous year’s Rs 183 crore. Other operational costs, including those for information technology, legal services, telecommunications, and more, totaled Rs 859 crore in FY24, rising 1.4% YoY from Rs 847 crore in FY23.
Servify managed to reduce its losses by 59%, from Rs 229 crore in FY23 to Rs 94 crore in FY24. Its ROCE and EBITDA remained negative at -34.48% and -8.83%, respectively, with the company spending Rs 1.14 to earn each rupee in FY24.
Servify has secured over Rs 1,000 crore in funding, including a $65 million investment from Singularity Growth in 2022. Its notable investors include Iron Pillar, Beenext, 3F Ventures, and Avanz Capital. In FY23, Servify’s revenue-to-enterprise multiple was 9.4X.
