Bootstrapped SaaS firm Wingify continued its momentum in FY22 with strong unit economics as the Delhi-based company’s revenue reached close to the Rs 200 crore mark.
Wingify’s revenue from operations stood at Rs 191 crore in FY22 as compared to Rs 155 crore in the previous financial year, as per the annual financial statements filed with the Registrar of Companies (RoC). This is an improvement from the previous fiscal when the company’s revenue barely moved.
Twelve-year-old Wingify provides SaaS tools to online businesses for their conversion rate optimisation (CRO) process via its internally developed tool called visual website optimiser (VWO). Income from these services is the only source of revenue for the firm which grew 23.2% to Rs 191 crore in FY22 from Rs 155 crore in FY21.
The company also has other income from its financial assets which increased 38% to Rs 18 crore in FY22 from Rs 13 crore in FY21.
On the cost side, employee benefit expenses were the largest cost center for Wingify, forming around 69% of the overall spending. This cost surged 28% to Rs 92 crore in FY22 from Rs 72 crore in the previous fiscal year.
The company boasts over four thousand clients across 90 countries worldwide including global business giants such as Ubisoft, eBay, Target, and Virgin holidays, amongst others. It currently has 400 employees across the globe.
Advertising and promotion were the next major cost for the company followed by employee benefit expenses constituting 10% of the total expense. The cost expanded 86% to Rs 13 crore in FY22.
Wingify spent another Rs 12 crore and Rs 6 crore on information technology and legal professional services pushing the total cost by 32.7% to Rs 134 crore in FY22.
While maintaining consistency, the profits for the company grew 13.7% to Rs 58 crore in FY22 from Rs 51 crore in FY21. As the company sticks to its fundamentals, cash flow from operations can be seen in the positive with Rs 57 crore in FY22.
Moving over to the ratios, ROCE and EBITDA margins for the company were recorded at 21.17% and 28.23% respectively in FY22. On a unit level, it spent Rs 0.7 to earn a single unit of operating revenue.
In May, Wingify’s founder Paras Chopra said that the firm is clocking $30 million (Rs 240 crore) in annual recurring revenue.
Venture capital-funded startups are bleeding money to achieve scale. But bootstrapped firms like Wingify and Zoho have shown strong unit economics in the recent past. Chennai-headquartered Zoho recently announced that it has crossed $1 billion in annual worldwide revenue.