Lendingkart swings to profit in FY23 on back of growing revenue, reduced expenses
The online lender made a profit of Rs 118.81 crore in FY23, after a loss in the previous year, while its revenue from operations rose 29.5% to Rs 798.45 crore.
Online lender has reported a profit after tax of Rs 118.81 crore for FY23, marking a turnaround from the loss of Rs 203.36 crore in the previous year.
Lendingkart's revenue from operations rose 29.5% to Rs 798.45 crore in FY23 from Rs 616.41 crore in FY22, according to the consolidated financial statements filed with the Registrar of Companies (RoC) under the Ministry of Corporate Affairs.
The small business lender reduced its expenses by 15.4% to Rs 751.51 crore in the financial year 2023 from Rs 888.99 crore in FY21-22. Its employee benefit expenses rose 1.5X to Rs 113.26 crore in FY23 to Rs 71.86 crore in FY22.
In October, the Ahmedabad-based startup raised Rs 200 crore in long-term debt funding from Temasek-backed financing platform EvolutiraionX Debt Capital. It had announced plans to launch products such as credit cards for MSMEs, personal loans for self-employed individuals, and gold loans using the funding.
In February this year, Lendingkart acquired Mumbai-based fintech Upwards in a cash-and-stock deal valued at Rs 100 crore-120 crore. The acquisition aimed to enhance Lendingkart's network and technology stack.
The company has so far raised more than Rs 1,000 crore in equity, debt, and non-convertible debentures from investors like Fullerton Financial Holding (a subsidiary of Singapore sovereign fund Temasek Holdings), Anicut Capital, and Mayfield India.
Founded in 2014 by Harshvardhan Lunia and Mukul Sachan, Lendingkart Technologies Private Limited is a fintech startup with products catering to the working capital needs of small and medium-sized enterprises.
It leverages technology and big data analysis to assess borrower's credit worthiness.
Edited by Swetha Kannan