Snapdeal reduces losses by 45% for FY23
The total income of Snapdeal for FY23 declined by 31% when compared to FY22 and the company attributed this to various cost reduction measures
has seen its consolidated loss after tax narrow to Rs 282.2 crore for FY23, from Rs 510 crore in previous year, according to a statutory filing.
As per the company's RoC filing, the total income fell to Rs 388.1 crore in FY23, from Rs 563.5 crore in the previous fiscal (FY22).
"The focus on profitability and long-term sustainability of the business yielded results with adjusted EBITDA loss reducing to Rs 144 crore in FY2022-23, from Rs 419 crore in FY2021-22," the filing said.
The loss reduction measures also led to revenue decreasing to Rs 388 crore in FY2022-23 from Rs 564 crore in FY2021-22, it added.
"In the past fiscal year, the company continued its well defined focus on the value segment, coupled with a steadfast commitment to staying on the path towards reaching profitability." the filing said.
The company said it has implemented several enhancements to its operations.
"These focused on improving selection and delivery experiences, optimising cost and minimising returns. These initiatives resulted in significant improvements in our profit and loss statement...," it added.
Snapdeal co-founder Kunal Bahl at the Techsparks 2023 summit in New Delhi spoke about the business of his ecommerce startups. “Snapdeal was built at a time when the market for ecommerce did not exist. We learnt a lot of things in the process. Not everything is a mistake–some are circumstantial. Profit serves as the primary motive of building a business. Once achieved, one can pivot towards a broader purpose,” he said.
Edited by Megha Reddy