On-demand auto rickshaw aggregator and delivery company Jugnoo has improved revenue and controlled losses for the year ended March 2018.
While the company’s revenue has grown double to Rs 11.7 crore in FY18 from Rs 5.14 crore in the preceding fiscal, it curbed its losses to Rs 16.34 crore from Rs 17.39 crore in the last fiscal, according to recent RoC filings with Ministry of Corporate Affairs (MCA).
The analysis of revenue and loss figures reveals that that Jugnoo had lost approx Rs 2 to make a single rupee, which is a significant down from previous year where it had lost Rs 6 to make a single rupee.
The four-year-old firm’s overall expense climbed to Rs 30.57 crore, which is a minor 4.6 per cent increase from last fiscal. In FY16, the company expenses were Rs 38.1 crore.
Like the previous year, employee benefit emerged as a major contributor, almost 49 per cent, in the company’s expenses. The company’s decision to shut down its food delivery services has helped it to squeeze losses.
Last year, it had spent around Rs 54.78 Lakh in food delivery services.
In January 2017, Jugnoo had entered the food delivery segment through hyperlocal delivery service Fatafat app. Jugnoo aimed to reach the destination of profitability for its hyperlocal delivery business category in tier 2 and tier 3 cities.
But it never took off.
Like Ola’s first attempt in food delivery service, Jugnoo faltered in the face of stiff competition from Zomato and Swiggy. Till date, the company has received $16 million funds in two rounds from investors like Paytm and Snow Leopard.
Currently, the Chandigarh-based firm claims to do more than 10 million transactions every month and is operational in over 45 cities.
In April, the ride-hailing firm had announced its foray into Singapore.
Jugnoo claims to have the offshore presence in Trinidad and Tobago, Sri Lanka, Bermuda, Panama, Mombasa, Oman, Congo, Nigeria, Indonesia, England and the US. After losing plot to Ola and Uber in the Indian market, it is yet to be seen how it fares in international markets.