SUMMARY
- Agritech company Waycool has noted Rs 1,251 crore in revenue in FY23 which is 62% more than Rs 772 crore in FY22.
- Agritech Waycool’s growth in revenue was accompanied by a significant rise in net loss, which jumped by 88.7% to Rs 686 crore in FY23 from the previous fiscal’s net loss of Rs 363 crore.
- WayCool Foods has implemented two rounds of layoffs in 2024 firing over 270 employees to cut down on expenses.
Updated: August 13 2024
Agritech Waycool’s growth in revenue was accompanied by a significant rise in net loss, which jumped by 88.7% to Rs 686 crore in FY23 from the previous fiscal’s net loss of Rs 363 crore. The company incurred non-cash expenses of Rs 1,906 crore and Rs 827.8 crore in FY23 and FY22, respectively, which have been subtracted from the total revenue to calculate the net loss figures.
With the increase in non-cash expenses, the net loss figure surged by 118% to Rs 2,591.6 crore in FY23 from the previous fiscal’s net loss of Rs 1,190 crore.
“This is a non-cash loss booked as per Ind AS (Indian Accounting Standards), whereby if an investor is investing through instruments such as CCPS, the same is seen as a liability. This is not true in Indian GAAP,” a company spokesperson commented on the non-cash expenses.
The expenses related to employee benefits increased by 65% to Rs 243 crore during the year under review from the previous year’s expenses of Rs 147.6 crore.
WayCool Foods has implemented two rounds of layoffs in 2024 firing over 270 employees to cut down on expenses.
The startup has secured a total funding of approximately $300 million from investors including Lightrock, Lightbox, Lightsmith, 57 Stars, and FMO.
In the previous year, WayCool Foods launched its FMCG division BrandsNext, which includes brands such as Madhuram, KITCHENji, DeziFresh, and Freshey’s.
The company was in negotiations to raise around $50 million to $70 million at a valuation of approximately $900 million. However, these negotiations fell through due to the ongoing funding drought. Instead, the company made the decision to lay off around 300 employees in 2023.
July 24 2024
Food and agritech company Waycool has noted Rs 1,251 crore in revenue in FY23 which is 62% more than Rs 772 crore in FY22. While the platform’s financial statements for FY24 are yet to come, its financial results for FY23 are finally in after an 11-month-long delay.
The financial reports sourced from the Registrar of Companies (RoC) suggest that revenue sourced from sales of goods accounted for 98% of the overall amount with Rs 1,216.8 crore, indicating a growth of 56.6% from Rs 767.7 crore in FY22. The finished goods contributed only 10% of the overall revenue that came from the sales of goods while the rest came from traded goods.
Commissions and cold storage management were the other revenue sources. Rs 11 crore came from interest on fixed deposit and non-current investments, taking the total revenue to Rs 1,262 crore in the fiscal year ended March 2023. The revenue for FY22 was Rs 927 crore due to the incorporation of IND AS.
The overall expenses were noted at Rs 3,856.9 crore in FY23, 96% more as compared to Rs 1,967.1 crore in FY22. Procurement of materials for its inventory accounted for 61.51% of the total cost with Rs 1,199 crore, 58% more as compared to Rs 758 crore in FY22. The contributing factors to the increased costs were doubtful debts, employee benefits, transportation, marketing & advertising among other overheads.
Its losses jumped by 89% from Rs 362 crore in FY22 to Rs 686 crore in FY23. The company had to spend Rs 1.56 to earn a rupee in the same period.
Chennai-based Waycool was cofounded by Karthik Jayaraman and Sanjay Dasari in 2015. It operates as a full-stack supply chain B2B platform and provides agricultural & dairy products to farmers and other clients. Madhuram, DeziFresh, KitchenJi, Allfresh are some of its 7 consumer brands.
