BigBasket FY22 revenue up 17% to Rs 7,119 cr, loss widens 4x to Rs 813 cr

BigBasket expects GMV to grow 30% to Rs 13,000 cr in FY23 with quick commerce push; will scale up offline stores from 90 to 695 in a year, will double footprint to 70 cities

Innovative Retail Concepts Private Limited, which operates as an online food and grocery store (popularly known as Bigbasket), reported its revenues for the financial year 2021-22 as Rs 7,119 crore, a 17 per cent increase since the last financial year.

The company further reported a net loss of Rs 813 crore during the same fiscal, showed regulatory documents sourced by business intelligence platform Tofler. This is a 300 per cent increase from the last financial year. The company’s total expenses for the fiscal were reported as Rs 7,932 crore, a 26 per cent increase from Rs 6,292 crore in FY21.

Tata Digital, a 100 per cent subsidiary of Tata Sons, last year in May acquired a majority stake in BigBasket at a valuation of $1.8 billion.

Groceries and household products were the major source of revenue for BigBasket (B2C) comprising 97 per cent of the total operating revenue. They grew 14 per cent to Rs 6,882 crore in FY22 from Rs 6,037 crore in the previous fiscal year (FY21).

Advertisements formed 2.4 per cent of the operating revenue, worth about Rs 173.2 crore in FY22. But, this revenue was nil in FY21.

Membership income, license fees income, and sale of scrap together reported an increase of 50 per cent to Rs 43.4 crore in FY22.

The biggest cost for the company was wholesale purchases, contributing about 73 per cent of the total expenses. The cost of procurement grew Rs 5,807.3 crore in FY22 from Rs 5,382.5 crore in FY21. Employee benefits grew to Rs 739.2 crore in FY22 from Rs 236.70 crore in the previous fiscal year.

This year Innovative Retail Concepts received Rs 350 crore from holding company Supermarket Grocery Supplies. The investment was approved on May 24 this year and the company allotted 3.5 crore equity shares.

BigBasket competes with players such as Amazon, Walmart-owned Flipkart, and Reliance’s JioMart for a share in the online grocery and food market, which is expected to become a $790 billion market size by 2024 from $603 billion in 2019, according to analysts.

BigBasket recently said that it expects gross merchandise value (GMV) on its platform to grow by 30 per cent to Rs 13,000 crore in the current fiscal with a push from its quick commerce business and expansion of presence across the country.

The company will scale up offline stores from 90 to 695 in a year to reach out to 100 per cent of its customer base. It had posted GMV of around Rs 10,000 crore in 2021-22.The firm plans to expand its footprint to 70 cities this fiscal year, from about 37 now.