New Delhi, Dec 29: E-commerce company Snapdeal has significantly reduced its losses for the financial year 2024 (FY24), reporting a net loss of Rs 160.38 crore, down from Rs 282.20 crore in FY23.
In addition to this, the company’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) loss saw a sharp decline of 88%, dropping to Rs 16 crore in FY24 compared to Rs 144 crore in the previous fiscal year.
This improvement in financial performance can largely be attributed to a reduction in expenses. Snapdeal's total expenditure for FY24 stood at Rs 540.76 crore, a significant decrease from Rs 687.93 crore in FY23. Notably, the company managed to cut its employee benefits costs by 48.5% year-on-year (YoY) to Rs 158.4 crore, compared to Rs 307.53 crore in FY23. Additionally, advertising expenses were reduced by 23.5% YoY, amounting to Rs 70.37 crore.
On the revenue front, Snapdeal's operating income grew by 2.1%, reaching Rs 379.76 crore in FY24, up from Rs 371.96 crore in FY23. The company's market services segment contributed the largest share of revenue, bringing in Rs 252.55 crore, although this represented a 9.6% YoY decline. Conversely, revenue from enablement services saw a 14.8% YoY increase, rising to Rs 103.36 crore. Income from other sources surged significantly, increasing eightfold to Rs 23.85 crore.
In a separate development, Snapdeal reduced its stake in Unicommerce, raising Rs 33 crore from a secondary sale of 3.4% of its stake during May-June 2024. This was followed by an Rs 81 crore raise through the sale of a 9.2% stake as part of its offer for sale during its initial public offering (IPO) in August 2024.
Founded in 2010, Snapdeal is one of India’s leading e-commerce platforms, focusing on the value-commerce segment. Over the past 14+ years, it has served more than 10 crore online shoppers across the country.
