Zepto Narrows Loss to Rs 1,248.6 Crore in FY24 as Revenue Doubles to Rs 4,454 Crore

Zepto, a quick commerce company, has slightly reduced its losses to Rs 1,248.6 crore for the fiscal year 2023-24, compared to Rs 1,272.4 crore in 2022-23, according to Tofler data. The Mumbai-based firm reported a revenue of Rs 4,454 crore in FY24, more than doubling from Rs 2,025 crore the previous year. Co-founder Aadit Palicha shared these results on LinkedIn.

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Palicha highlighted that Zepto's profit after tax (PAT) as a percentage of revenue improved significantly from -63% in FY23 to -28% in FY24. He expressed optimism about maintaining this momentum towards profitability and stated that the company is on track for a PAT in the near future. Despite being only three years old, Zepto successfully completed a full statutory audit by a Big 4 firm without financial qualifications and received a clean CARO.

Zepto's Governance and Future Plans

Palicha attributed this achievement to Zepto's governance-focused culture and early decisions prioritising controllership excellence. These included SAP FICO integration, automated revenue-to-cash reconciliation, and setting up an H2H payment system. Earlier this month, Palicha expressed optimism about a potential IPO in 2025 during an interview.

He stated, "We're willing to commit that within the next financial year, sometime in FY26 we will become a full Indian-owned company... that's our ambition and objective, and it looks quite likely that we're going to get there... So what I can tell you is that we will be a domestic company within the next financial year."

Expansion and Profitability Goals

Palicha also revealed plans for Zepto to expand its operations to over 50 cities by the next quarter. He confidently stated that the company aims to be PAT positive in the next financial year. "We are quite confident and that hopefully will be a positive signal to the markets," he said.

The company's focus on governance and strategic decision-making has been pivotal in achieving these milestones. As Zepto continues to grow and expand its reach, it remains committed to becoming a fully Indian-owned entity while striving for profitability.

Zepto's journey reflects its dedication to maintaining strong governance practices and making informed decisions that support its growth objectives. With plans for further expansion and an eye on profitability, Zepto is poised for continued success in the quick commerce sector.