Gurugram , 23 October, 2019:
Turns profitable while delivering disruptive growth
Ecom Express Private Limited, a leading end-to-end technology enabled logistics solutions provider to e-commerce and fin-tech and allied services industry, today announced financial results according to IndAS, for the year ended March 2019. The results recorded a strong revenue growth and the company turning overall profitable, making it one of the start-up companies in the Indian e-commerce space to turn profitable in a very short span.
Ecom Express recorded a revenue of Rs.1,006 Crores for the year ended March 2019, a year-over-year increase of over of 78% from total revenue of Rs. 567 crores reported in FY 2018. The growth in revenue was fueled by unparalleled reach across the length and breadth of the country and significant growth in the number of customers and their order volumes. Some part of the growth is also attributed to Fulfillment Services and diversification into Ecom Digital Services offering document collection, EMIs cash/cheque collection, Contact Point Verification (CPV) and e-KYC to BFSI and Telecom companies at end-consumers’ doorsteps.
Key financial highlights -
- The company reported Total Revenues of Rs. 1,018 Crores, 76% growth YoY, primarily driven by increase in revenue from operations. The Revenue from operations grew by 78% on YoY basis to Rs. 1,006 Crores corresponding to increase in number of shipments handled as well as expansion in its newer businesses of Fulfilment and Digital services
- EBITDA for FY19 was Rs. 35 Crores representing a turnaround from (-) 12.5% in FY18 to (+) 3.5% in FY19, owing to increased revenue, enhanced operating leverage and sharp focus on costs
- During FY19, the company has adopted the Indian Accounting Standards (‘IndAS’) as notified by Ministry of Corporate Affairs under section 133 of the Companies Act, 2013 read with the Companies (Indian Accounting Standards) Rules, 2015, as amended and other relevant provisions of the Act. The company reported Net Loss for the year of (-) Rs. 130 Crores owing to net loss on financial liability of Rs. 157 Crores, the designated at fair value through profit or loss (FVTPL) driven by treatment of its capital structure in accordance with IndAS
- The company generated Cash Flow from Operations of Rs. 61 Crore leading to Cash, cash equivalents and bank balances of Rs. 201 Crore as on March 31, 2019. The Total Assets stood at Rs. 511 Crores as on March 31, 2019, an increase of 20% over the previous year
Commenting on the performance, T.A. Krishnan, Co-founder & Chief Executive Officer, Ecom Express Private Limited, said, “We are pleased with our FY2018-19 results which reflect our strong growth. Achieving a thousand crores in revenue and turning profitable at a net level are important milestones for us and we attribute it to our seasoned leadership team, our people, technology and execution. Our performance as a credible player to the Industry reflects our measures towards sustainability and assurance. We have been able to better leverage our infrastructure, resources and operating levers in driving profitable performance. As a company our main focus continues to be on building and reinventing our network and operational processes thereby, aligning ourselves to the industry expectations. We will continue to accelerate innovation and evolve our business models which we believe is resonating well with our customers.”
He added, “With a strong financial performance and overall financial outlook, we are well capitalized and optimally positioned to support the revenue growth that significantly contribute and sustain our profitability. This year the company will continue to build out new-age technology capabilities besides leveraging AI, ML, Analytics and Data Science in driving performance and will focus on going further deep into India.”
Backed by Warburg Pincus, Ecom Express is among the most well-funded startups in the Indian logistics sector. The company contributes significantly to the nation development by physically connecting buyers and sellers across the country including the remote parts of the country and had a workforce of approximately 26,500 staff spread over more than 2400 towns at the end of financial year.