The startup’s loss grew over 67% to INR 526.1 Cr in FY22 from INR 314.2 Cr in FY21
Tata 1MG’s revenue from operations more than doubled to INR 627.1 Cr in FY22 from INR 309.4 Cr in FY21
On Tuesday, Tata 1MG became the latest entrant to the coveted unicorn club, becoming 107th startup to do so, after raising $40 Mn in a round led by Tata Digital
Online pharmacy startup Tata 1MG, which became the 107th unicorn of India on Tuesday (August 6), saw its net loss widening over 67% to INR 526.1 Cr during the financial year 2021-22 (FY22).
The startup had reported a net loss of INR 314.2 Cr in the prior fiscal year of FY21.
Tata 1MG’s revenue from operations more than doubled to INR 627.1 Cr in FY22 from INR 309.4 Cr in FY21, according to its regulatory filings.
The startup generated most of its revenue from sale of products such as medicines, personal care products, and other healthcare devices. Revenue generated from products stood at INR 361.7 Cr in FY22, almost a 137% jump from INR 152.7 Cr in FY21.
On the other hand, Tata 1MG’s revenue from the sale of services, which includes facilitation fees, ediagnostic services, among others, jumped 62% year-on-year (YoY) to INR 185.7 Cr in FY22.
Other operating revenues, which comprise revenues from ancillary activities such as arranging medical camps for the customers and consumables recovered from the customers, stood at INR 79.6 Cr in FY22 versus INR 42.2 Cr in FY21.
Meanwhile, the online pharmacy startup’s total expenses jumped almost 86% to INR 1,171 Cr during the year from INR 630.1 Cr in FY21.
The cost of materials purchased had the biggest share in Tata 1MG’s total expenses in FY22 at 37%. The cost under the head surged over 3X to INR 432.8 Cr from INR 138.5 Cr in FY21.
The next biggest contributor to the total costs was employee benefit expense, which grew to INR 219.8 Cr in FY22 from INR 76.2 Cr in FY21.
The startup also spent INR 240.9 Cr as miscellaneous expenses in FY22, which grew slightly from INR 232.7 Cr In FY21. Advertising and promotional expenses contributed another major portion to total expenses, jumping almost 130% to INR 180.4 Cr in FY22.
On the other hand, the startup’s legal professional charges more than doubled YoY to INR 55.3 Cr in FY22.
The Tata Group infused INR 100 Cr ($13.3 Mn) in 1MG in April last year, and in July, Tata Digital announced acquiring a majority stake in the epharmacy startup.
In its latest funding round, led by Tata Digital, Tata 1MG raised $40 Mn to become a unicorn. The round also saw participation from KWE Beteiligungen AG, HBM Healthcare Investments, and others.
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