BlackBuck’s operating revenue may cross Rs 2,300 Cr in FY20

BlackBuck has emerged as a leader in the organised trucking industry and its financial performance in FY19 clearly indicates that it’s better than its peers such as Rivigo. 

The Bengaluru-based company’s operating revenue had jumped 2x to Rs 1,790.7 crore in FY19 from Rs 888.7 crore in FY18. Comparatively, Gurugram-based Rivigo’s revenue grew 45% during FY19 to Rs 1,005.3 crore.

And continuing its topline growth, BlackBuck has demonstrated impressive numbers in its unaudited financial statements for the first half of 2020. According to regulatory filings, it recorded standalone operating revenues of Rs 1,120 crore during the first half of FY20.

Although the figures are unaudited, its estimated annualised recurring revenue (ARR) for FY20 would be close to Rs 2,240 crore. 

Entrackr’s estimates show that the company is on its way to record a Y-o-Y growth of 24.23% in revenues during the fiscal ending in March 2020 as per the ARR projection. 

While FY20 didn’t see much impact of the COVID pandemic on the supply-chain business as lockdown started in the last week of March, trucking operations have been hit massively in the past one and a half months. 

The COVID-19 crisis will impact BlackBuck’s revenue in FY21 for sure but its FY20 performance is likely to be stable. Experts in the trucking space say that the unaudited figures for the first of FY20 suggests BlackBuck is highly unlikely to repeat the similar growth in revenue as it did in FY19. 

“BlackBuck will see anywhere between 35 to 45% growth in operating revenue,” said one of the analysts tracking organised trucking space on condition of anonymity.

During the first six months of FY20, the company’s total expenditures stood at Rs 1,322 crore and losses accounted Rs 173.8 crore. As far as FY19’s expenses and losses are concerned, BlackBuck spent Rs 2,147 crore in the period ending March 2019 while losses stood at Rs 345 crore.

If we factor in its unaudited expenses and losses in the first half of FY20, it appears that the company’s overall unit economics will likely be stable. BlackBuck had spent Rs 1.15 to earn a rupee in FY19.