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Fintech unicorn Yubi (formerly CredAvenue) reported widening of its net loss to INR 55.3 Cr in the financial year 2021-22 (FY22) from INR 6.6 Cr in the previous fiscal year as the startup’s expenses grew almost six-fold.

The net loss increased despite Yubi’s operating revenue surging over 6X to INR 153.2 Cr in FY22 from INR 24.9 Cr in FY21, according to its regulatory filing. Yubi’s total income for the year stood at INR 165.5 Cr.

The revenue increase was powered by a strong growth in gross merchandise value (GMV), which increased to $3.8 Bn (INR 30,295.3 Cr) in FY22 from $800 Mn (INR 6,377.9 Cr) in FY21.

On the other hand, Yubi’s total expenses in FY22 surged to INR 201.7 Cr from INR 33.8 Cr in FY21, with employee benefit expenses comprising a majority portion.

The fintech startup spent INR 84.4 Cr on employee benefits in FY22, over a 315% year-on-year (YoY) rise from INR 20.1 Cr. 

The startup, in the filing, said that its employee base grew to 477 from 220, with additions predominantly made across key verticals such as product, engineering, technology and business.

Miscellaneous expenses, which include distribution expenses, business support service, loss on sale of investments, among others, also shot up 12X to INR 62.8 Cr during the year from INR 5.2 Cr in FY21.  

Yubi’s depreciation, depletion and amortisation expenses also surged significantly to INR 12.4 Cr in FY22 from INR 68 Lakh in FY21.

Yubi, founded as CredAvenue in 2017 by Gaurav Kumar, is a debt platform that connects enterprises with lenders and investors. CredLoan, CredCoLend, CredPool, Plutus, and CredSCF are among its offerings. In June 2022, CredAvenue rebranded itself to Yubi.

Yubi entered the unicorn club in March this year after raising $137 Mn from Insight Partners, B Capital, Dragoneer Investment Group, among others. The round took its valuation to $1.3 Bn.

Prior to it, the startup raised its $90 Mn in a Series A funding round led by Sequoia Capital.

Yubi made its first acquisition during FY22, buying 75% stake in Spocto, a digital collections startup, for about INR 400 Cr in February this year. Besides, it also announced the acquisition of 82% stake in SaaS startup Corpository in April in an INR 100-Cr deal.