Wiz Freight has reported a revenue of Rs 300 Cr for the FY22, and successfully turned profitable

During the fiscal year ending in March 2022, Chennai-based startup Wiz Freight raised Rs 275 crore, marking the largest Series A funding round ever seen in the logistics industry.

Following this successful fundraising, the company achieved remarkable growth in collections and became profitable in the same fiscal year.

According to the consolidated financial statements filed with the RoC, Wiz Freight’s revenue from operations increased over 18 times, reaching Rs 327.51 crore in FY22, compared to Rs 17.98 crore in FY21.

Source: Fintracker

Wiz Freight operates as a platform that allows exporters and importers to efficiently book and manage their cross-border shipments.

The company’s primary source of revenue is generated through its freight forwarding and warehousing services.

Additionally, it received a non-operating income of Rs 2.51 crore from current investments during FY22.

Wiz Freight’s cost of operations, which encompasses freight and warehousing charges, represents the largest cost center for the company and accounts for 89.9% of its overall expenditure.

In line with its significant growth, this expenditure surged 16.37 times from Rs 17.59 crore in FY21 to Rs 288 crore in FY22.

Expenses Breakdown:

Source: Fintracker

In FY22, Wiz Freight’s employee benefit expenses increased by 11.7 times to Rs 18.88 crore from Rs 1.61 crore in FY21.

The firm also spent Rs 2.73 crore on legal and professional fees, leading to a total expenditure of Rs 320.38 crore in FY22, which was 16.2 times higher than the Rs 19.81 crore spent in FY21.

Despite the increased expenses, Wiz Freight was able to achieve profitability, posting a profit of Rs 8 crore in FY22.

The company’s ROCE and EBITDA margin were positive at 4.36% and 3.26% respectively in FY22. On a unit level, Wiz Freight spent Rs 0.98 to earn one unit of operating revenue, demonstrating effective cost control.

Source: Fintracker

Wiz Freight, led by experienced founders in the industry, successfully acquired the India operations of Swiss company M+R last year and aims to expand its portfolio by acquiring other relevant firms in the near future.

By leveraging technology to provide innovative solutions, the company has established a strong clientele and experienced impressive growth.

Wiz Freight’s specialization in international trade has also allowed it to capture market share by moving quickly.

As the company plans to raise an additional $150 million, its profitability will serve as an advantage in negotiating with potential investors.

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