Urban Company’s Loss Widens To Over Rs 500 Cr

Ratan Tata-backed startup Urban Company posted a loss of Rs 514 crore in FY21 compared to Rs 249 crore in FY21. The company’s operating income for FY2222 was Rs 437.6 crore, up 76.7% from Rs 247.7 crore in the previous fiscal. Tiger Global and the startup’s Indian operations raised $50 million, backing the process. 395 crore in revenue while the company generated Rs.000 crore from international operations. 42.5 crore during the above period as per the annual financial statements of the Registrar of Companies. Apart from India, the company has units in Singapore, Australia, Saudi Arabia, the Netherlands, the United Arab Emirates and the United States. However, the company grew 89.8% from Rs 539 crore in FY21 to around Rs 1,023 crore in FY2222.

227 crore in FY21, employee benefit expenses in FY22 were Rs. 443.8 crore, which is about 44% of the company’s total expenditure. The company spent around Rs 8 crore on financial charges in the current financial year compared to Rs 10.1 crore in FY21.

Other expenses, including marketing, security purchases, entry fees, salaries of contractual employees and foreign exchange losses, rose from Rs 231.5 crore in FY21 to Rs 471.8 crore in FY22. Founded in 2014 by Abiraj Singh Paul, Varun Khaitan and Raghav Chandra, Urban offers specialty services including beauty and home services. The company operates in about 50 cities in India. advertising

In December last year, Urban completed its fourth and largest employee share program (Esop) worth $7.3 million (or around Rs 55 crore). The Esop project of this startup is valued at $2.8 billion. The startup raised $255 million (roughly Rs. 1,866.7 crore) in Series F in June last year at a valuation of $2.1 billion, joining the elite unicorn club. The round was led by Process Ventures, Dragoneer Investment Group and Wellington Management and included both primary and secondary capital infusions. Urban previously raised $75 million in a round led by Tiger Global in August 2019. This round valued the startup at $1 billion.

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An MBA in HR and Marketing from AIMS Institute (Bangalore University), He heads digital business he has a rich experience that he has garnered from his previous organisations Including leading Banks, NBFCs & Genpact India. He is a serial entrepreneur and the founder of Heavy Group of Companies.

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