Agritech Startup Bijak Witnesses Impressive Growth in Revenue and Reduction in Losses

Agritech startup Bijak has reported significant growth in gross revenue and a reduction in losses for the fiscal year ending in March 2023. The Gurugram-based company, founded in 2019, operates as a B2B agricultural commodities trading marketplace, offering logistics and working capital solutions to suppliers. Let’s delve into the details of Bijak’s financial performance.

Summary for Bijak’s Revenue Growth and Reduction in Losses

• Agritech startup Bijak experienced a remarkable 13X increase in gross revenue, reaching Rs 807 crore in FY23 compared to Rs 62 crore in FY22.
• Bijak’s primary revenue source was the sale of agricultural commodities through its apps, contributing to 99% of its revenue in FY23.
• The company’s cost of procurement for agricultural commodities accounted for 92% of its overall expenditure, which surged to Rs 791 crore in FY23.
• Despite increased expenditure, Bijak managed to reduce its losses by over 16% in FY23, showcasing its positive financial performance and growth potential.

Impressive Revenue Growth:

Bijak’s gross revenue, also known as gross merchandise value (GMV), soared 13 times from Rs 62 crore in FY22 to Rs 807 crore in FY23, according to the company’s annual financial statements filed with the Registrar of Companies. The sale of agricultural commodities through its apps, including Bijak Mandi, Vyapaar, Global, and Just Fresh, contributed to 99% of the revenue in FY23.

Diverse Revenue Streams:

Apart from commodity sales, Bijak generated revenue through commissions, logistics, and interest. The company earned Rs 6 crore from interest on deposits and current investments, bringing its overall income to Rs 813 crore in FY23.

Costs and Expenditure:

The procurement of agricultural commodities accounted for 92% of Bijak’s total expenditure. As the company scaled up its operations, the cost of procurement surged 12.4 times to Rs 791 crore in FY23. Other expenses, including employee benefits, advertising, doubtful debts, payment gateways, logistics, and overheads, led to a total expenditure of Rs 860 crore in FY23, compared to Rs 121 crore in FY22.

Positive Financial Performance:

Bijak’s impressive revenue growth and cost management strategies resulted in a reduction in losses. The company managed to decrease its losses by over 16% in FY23 compared to the previous fiscal year. This indicates the company’s ability to improve its financial health and move towards profitability.

Conclusion:

Bijak, the agritech startup, has demonstrated remarkable growth in gross revenue and a reduction in losses for the fiscal year ending in March 2023. With its B2B agricultural commodities trading marketplace and additional revenue streams, Bijak has successfully capitalized on the sale of agricultural commodities through its apps. By effectively managing costs and focusing on scaling its operations, Bijak has positioned itself for continued success in the agritech industry.