Indian e-commerce enablement platform Shiprocket has demonstrated strong financial performance in FY24, reporting a 21% year-on-year growth in operating revenue to Rs 1,316 crore, while successfully reducing its cash burn by nearly half. This growth comes as the logistics unicorn expands its service offerings and strengthens its position in India’s competitive e-commerce infrastructure space.
The Bengaluru-based company has achieved a significant milestone by reaching operational profitability in the first two quarters of FY25, putting it ahead of schedule in its journey toward full profitability, targeted for FY25. This achievement is particularly noteworthy given the challenging market conditions and the company’s recent strategic acquisitions and restructuring efforts.
Shiprocket’s performance reflects its successful execution of a dual strategy: optimizing core operations while aggressively expanding into new business verticals. The company has reduced its cash EBITDA burn from Rs 191 crore in FY23 to Rs 100 crore in FY24, marking a substantial 48% improvement in operational efficiency.
The company’s emerging businesses, including Shiprocket Cross Border, Checkout, and Capital, have shown impressive growth rates of 70-100% year-on-year, now contributing approximately one-fifth of the total revenue. This diversification has been particularly successful in the checkout segment, which has processed over $400 million in GMV (Gross Merchandise Value).
However, the path hasn’t been without challenges. Shiprocket reported a net loss of Rs 595 crore in FY24, which includes a one-time restructuring and integration-related non-cash accounting impact of Rs 244 crore, along with Rs 192 crore in ESOP expenses. These figures reflect the company’s significant investments in long-term growth and employee retention strategies.
The company’s transformation has been marked by strategic acquisitions and integrations, including Pickrr, Wigzo, and Omuni, which have strengthened its core operations. Shiprocket now serves over 1.5 lakh active businesses and facilitates approximately 5% of India’s e-commerce transactions through its platform.
“FY24 has been a transformative year for Shiprocket,” said Saahil Goel, MD and CEO. “We’ve focused on building India’s most comprehensive tech stack for SMBs while ensuring sustainable growth and operational efficiency. Our strategic partnerships with ONDC, DGFT, and India Post have been crucial in providing greater access to merchants across Bharat.”
The implications for India’s startup ecosystem are significant. Shiprocket’s progress demonstrates that it’s possible to achieve scale while moving toward profitability, even in the capital-intensive logistics sector. The company’s success in reducing cash burn while maintaining growth could serve as a blueprint for other Indian startups looking to balance expansion with financial sustainability.
Looking ahead, Shiprocket is positioning itself for continued growth through its focus on cross-border enablement, intracity rapid delivery (Shiprocket Quick), checkout services, and revenue-based financing (Shiprocket Capital). The company is reportedly in discussions to raise an additional $75 million in funding led by Tribe Capital, signaling continued investor confidence in its business model and growth trajectory.
This evolution of Shiprocket from a pure-play logistics aggregator to a comprehensive e-commerce enablement platform represents a broader trend in India’s startup ecosystem, where companies are increasingly focusing on building sustainable, multi-faceted businesses rather than pursuing growth at any cost.
