Supermarket Grocery Supplies, which operates online grocery store BigBasket, reported a consolidated net loss of Rs 611 crore in FY20, a 6.7 per cent rise as compared to the previous financial year at Rs 572 crore.
According to financial data accessed by business intelligence platform Tofler, the Bengaluru-headquartered company posted a 36 per cent jump in revenue at Rs 3,822 crore in FY20 over the previous financial year.
BigBasket, which is soon to be acquired by the Tata Group, saw its total expenses widen 31 per cent from Rs 3,376 crore in FY19 to Rs 4,433 crore in FY20. The Tata Group is in advanced talks to buy a majority stake in BigBasket in a deal that is likely to value the online grocer at $1.6 billion.
Given the convenience and safety that home delivery offers, BigBasket had earlier said that it has seen an 84 per cent increase in the number of new customers accompanied by 50 per cent higher retention rates as compared to pre-covid levels. The Alibaba-backed company is currently recording about 20 million orders per month and reached the milestone of $1 billion run-rate in annual revenues last year.
According to a RedSeer and BigBasket report, the total size of the e-grocery market in the country is expected to grow from $1.9 billion in 2019 to $3 billion by the end of 2020. At an annual growth rate of 57 per cent, it is expected to touch $18 billion by 2024.
With marquee players such as Amazon and Reliance making serious bets in the online grocery space, the segment is likely to see intense competition in the coming months.