Garagepreneurs Internet Private Limited, the parent company of fintech unicorn Slice, witnessed a significant surge in revenue during the fiscal year 2023, primarily driven by increased service sales. Revenues from operations soared to Rs 846.74 crore, nearly tripling from the Rs 283 crore earned in the preceding fiscal year. The company experienced substantial growth in income from fees and commissions, rising to Rs 374.93 crore from Rs 149 crore in the prior fiscal year. Additionally, interest income from loans increased over 3.5 times, reaching Rs 471.81 crore compared to Rs 134.11 crore in FY22.
“However, the rise in revenues was coupled with escalated expenses,” the company’s financial disclosures revealed. Expenses more than doubled, surging to Rs 1,272.56 crore in FY23 from Rs 542.49 crore in the previous year. Employee benefit costs nearly tripled, rising to Rs 286.94 crore in FY23 from Rs 98.93 crore in the preceding fiscal year. Finance costs, including interest on borrowings, non-convertible debentures, and lease liabilities, sharply increased by 159%, totaling Rs 169 crore in FY23.
The company allocated Rs 262.76 crore toward promoting and advertising its services in FY23, marking a 25% increase from Rs 209.15 crore spent in the prior fiscal year. Additionally, subscription membership fees witnessed a substantial 4.1 times surge, reaching Rs 83.18 crore in FY23 from Rs 20.24 crore in the preceding year.
“Despite robust revenue growth, the company encountered a 60% rise in losses,” as stated in the financial reports. Losses amounted to Rs 405.78 crore in FY23, up from Rs 253.67 crore in FY22.
Slice, founded in 2016 by Rajan Bajaj, specializes in financial services and online platforms facilitating credit facilities, prepaid cards, electronic vouchers, and software products for streamlined business transactions.
“In October, the fintech received approval from the Reserve Bank of India for a merger with North East Small Finance Bank,” as part of its strategic plans to navigate changes after regulatory notifications affected its core operations.
“Previously, in November last year, it secured around $9 million from Stride Ventures in a debt funding round,” the company disclosed, showcasing its efforts to strengthen its financial position. Moreover, Slice secured $50 million in a Series C round in June 2022 from investors like Tiger Global Management, Moore Strategic Ventures, Insight Partners, and GMO VenturePartners. It has also received backing from Gunosy Capital, Blume Ventures, and Axis Bank.
