Healthkart's revenue approaches ₹1,400cr in FY25
What's the story
HealthKart, a leading e-commerce platform for nutrition and supplements, has reported a massive spike in its profits for the fiscal year 2025 (FY25). The Gurugram-based company witnessed a three-fold increase in its profits after turning profitable in FY24. The growth is attributed to strong sales momentum and an efficient cost structure.
Financial growth
Revenue growth
According to its consolidated financial statement filed with the Registrar of Companies (RoC), HealthKart's operating revenue grew by a whopping 29% to ₹1,313 crore in FY25 from ₹1,021 crore in FY24. The company's product sales contributed 97% of this total revenue, which also saw a similar growth rate. Revenue from services increased by a modest 16% to ₹36 crore during the same period.
Revenue sources
Rising costs
HealthKart's non-operating revenue also witnessed a growth, rising to ₹55 crore in FY25 from ₹48 crore in FY24. The company's cost of materials constituted the largest chunk of its expenditure at 49%. This cost increased by 26% to ₹623 crore in FY25 from ₹495 crore in FY24. Advertising costs surged by 39% to ₹263 crore while commission expenses rose by 22% to ₹82 crore.
Profit surge
Careful management of finances
Despite the increase in costs, HealthKart managed to keep its cost growth below revenue expansion. The company's total expenses rose by 23% to ₹1,273 crore in FY25 from ₹1,032 crore in FY24. This careful management of finances led HealthKart's profit to surge over three times to ₹120 crore in FY25. Its return on capital employed (ROCE) and EBITDA margin also improved significantly to 5.45% and 6.02%, respectively.
Efficiency metrics
Key numbers and funding
On a unit basis, HealthKart spent Re 0.97 to earn a rupee of operating revenue in FY25, down from ₹1.01 in FY24. As of FY25, the company's current assets stood at ₹971 crore including cash and bank balances worth ₹73 crore. The company has raised a total of $382 million in funding till date with Peak XV Partners, Temasek and Sofina as its lead investors.