Shiprocket Reports Strong FY25 Results

Shiprocket’s performance in FY25 has been notable, with operating revenue increasing by 24% compared to the previous year. The company achieved a cash positive EBITDA of Rs 7 crore, a significant turnaround from a loss of Rs 128 crore in FY24, as highlighted in the recent financial report.

In FY24, Shiprocket reported revenues of Rs 1,316 crore alongside a net loss of Rs 595 crore, which included an exceptional expense of Rs 244 crore. In FY25, the total revenue surged to Rs 1,632 crore, as indicated in the financial statements submitted to the Registrar of Companies (RoC).

Core Business Growth

Shiprocket has stated that its primary operations, including the domestic shipping platform and various tech enhancements, grew by 20% year-on-year, reaching Rs 1,306 crore. This segment alone accounts for 80% of the total revenue. The cash EBITDA from this segment improved to Rs 157 crore, reflecting a 2.2 times year-on-year enhancement. According to the chief financial officer, Tanmay Kumar, the core business has maintained positive EBITDA for the past five years and continues to be a robust and established area of the company.

Emerging Business Development

The emerging business segment, which consists of cross-border services, marketing, and omnichannel solutions, contributed the remaining 20% to operating revenue, an increase from 11% two years prior. This segment recorded a 41% growth, reaching Rs 326 crore in FY25, with continual efforts to enhance margins, as stated by Tanmay Kumar.

Expense Overview

The costs associated with merchant solutions saw a rise of 20%, totalling Rs 1,213 crore. Conversely, employee benefit expenses decreased by 27% to Rs 315 crore due to a reduction in ESOP costs, which fell from Rs 192.6 crore in FY24 to Rs 91 crore. The company’s workforce remained steady at around 1,300, as reported by Kumar.

Other overheads, which encompass marketing, server and communication, warehouse management, depreciation, amortization, and other expenditures, summed up to Rs 221 crore. Overall, Shiprocket’s total expenses stayed consistent at Rs 1,749 crore in FY25.

Financial Performance Highlights

The combination of a 24% year-on-year rise in operating revenue, alongside effective cost control measures, enabled Shiprocket to significantly narrow its losses to Rs 74.4 crore in FY25, down from Rs 595 crore the prior year, which had included Rs 190 crore in ESOP expenditures and Rs 240 crore in exceptional items.

On a per-unit basis, the expenditure for Shiprocket was Rs 1.07 to earn a rupee in FY25, an improvement from Rs 1.30 recorded in FY24. Key performance metrics such as ROCE and EBITDA margin also improved to -6.1% and -3.68%, respectively.

Current Assets and IPO Plans

As of March 2025, Shiprocket reported current assets of Rs 1,254.6 crore, which includes cash and bank balances amounting to Rs 501.7 crore. The company has filed its draft IPO documents with the Securities and Exchange Board of India (SEBI) in May 2025, seeking to raise between Rs 2,000 and 2,400 crore through this offering. This will consist of a primary issue of Rs 1,000 to 1,200 crore, with the remainder coming from an offer for sale (OFS).

To date, Shiprocket has successfully raised over $320 million and has a valuation of $1.21 billion. Data from startup intelligence platforms reveals that Bertelsmann Nederland B.V. is the largest external shareholder, followed closely by Tribe. Other prominent investors include Zomato, Temasek, LightRock, and PayPal.