Park+ expects to turn profitable in Q4 FY24; aims to double revenue to Rs 200 Cr

Car care services startup Park+ expects to turn profitable by the January-March 2024 quarter and close the current fiscal with a revenue of over Rs 200 crore, a senior company official said.

Park+ Founder and CEO Amit Lakhotia said that the company at present has operations in about 30 cities and plans to expand to over 100 cities by 2024.

The Epiq Capital-backed company has raised $55 million to date to fund its operation which is sufficient for the company to fund operations as well as planned expansion.

"We want every service related to cars and car owners to be available on our platform. We are providing parking, car cleaning and repair services etc through the app. Roughly every 4th car in India is on Park+. We expect to turn profitable by the January-March 2024 quarter," Lakhotia said.

He said that Park+ has services now available at over 7,000 locations in 30 cities and there is no user acquisition cost now for the company.

"We expect to post revenue of Rs 200 crore this fiscal. We expect next financial year to be the first year of profitability for us," Lakhotia said.

The company has posted a loss of around Rs 99 crore and revenue of Rs 103 crore in the financial year 2022-23.

Park+ installs automatic gate barriers that facilitate the entry and exit of cars in societies and commercial buildings. It also provides car cleaning, car finance, FASTag, and other services to cater requirements of car owners.

"We are looking to grow our customer base by adding more services like roadside assistance, insurance services, electric vehicle charging etc that are related to cars. Later we are looking to deploy connected car services and automate every service that can ease a car owner's life," Lakhotia said.

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He said that commercial real estate partners have started bundling the company's services in cities where they operate.

"We are seeing aspirations of people even in smaller cities increasing. People in smaller towns are looking for a gated society which is driving our geographic expansion. We are seeing demand for automation in smaller cities like Gorakhpur, Bhilwara etc," he said.

The company at present has over 700 employees. Lakhotia said that the company expects to hire 300-400 more employees to support the growth of the company.