Infra.Market, a business-to-business (B2B) construction material startup which became a unicorn earlier this year, has seen its revenues rise 3.5x to Rs 1,242.9 crore for the financial year ended March 31, 2021, a senior company official told ET. This comes on the back of heightened demand from the tier I and II cities across the country.
For the financial year ended March 31, 2020, the company’s revenues stood at Rs 350.8 crore.
The startup expects 5x growth in its revenues for the current financial year to Rs 6,670 crore, aided by its private label business and B2B initiatives, Souvik Sengupta, cofounder at Infra.Market, said in an exclusive chat with ET.
The company’s earnings before interest, tax, depreciation and amortisation stood at Rs 68.9 crore for FY21 as against Rs 13.6 crore in FY20. “We expect the Ebitda to be around Rs 500 crore,” Sengupta said. “We are projecting a 4x-5x growth over the next financial year with the majority of it coming via our retail vertical.
"Our growth will be accompanied by higher profitability with 70% of our products being private labelled,” he added.
The company’s profit after tax (PAT) grew four-fold to Rs 35.9 crore in FY21 from Rs 8.9 crore in FY20. It expects to improve its profitability substantially and will close FY22 at almost Rs 300 crore in profits, Sengupta said. “We will continue to be focused on profitability as we are looking at creating a profitable company that can look to IPO in the next 24 to 30 months,” he added.
The startup entered the unicorn club in January this year with a $100 million fundraise led by Tiger Global. It again raised $125 million from Tiger Global catapulting its valuation to $2.5 billion.
Founded by Sengupta and Aaditya Sharda in 2016, Infra.Market leverages technology to provide a procurement experience for all players in the construction ecosystem. Infra.Market focuses on high-volume construction products under its own brands and aims to solve existing issues such as lack of price transparency, unreliable quality, fragmented vendor base and inefficient logistics.
The company caters to both institutional customers (B2B) and retail outlets in the construction materials sector. It supplies across more than 10 states in India and exports to markets such as Dubai, Singapore and Bangladesh.
“We have also grown our export vertical substantially. Now, international markets contribute almost 20% of our business today. There is a global shift in supply chains towards India and we think we will continue to witness substantial growth in international markets,” Sengupta added.
“We expect the growth to continue in the next financial year, our entry into new product categories and business segment such as direct to retail with our own private labels will further fuel both growth and profitability,” he said.