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Progcap’s operating revenue shoots up 4.5X in FY22


Google and Sequoia-backed fintech firm Progcap grew at a high speed in terms of scale as its collection surged over four-fold in the FY22. However, its expenses and losses also rose at a similar pace.

Progcap’s operating revenue jumped 4.5X to Rs 26.41 crore in FY22 from Rs 5.92 crore in FY21, according to its consolidated financial statements filed with the Registrar of Companies.


Progcap provides collateral-free loans to small and medium businesses and collection of interest along with business management were the two sources for its income. The firm also made Rs 11.87 crore from interest on fixed deposits and gain on the sale of mutual funds during FY22. This income was apparent as the company raked in $30 million in a Series C round during FY22 (October 2021). 

Akin to a majority of growth stage startups, employee benefits was the largest cost center for Progcap which formed 69.5% of its overall expenditure. This cost spiked 3.9X to Rs 43.51 crore in FY22 from Rs 11.14 crore in FY21. It also includes Rs 5.93 crore as ESOP expenses which were non-cash in nature.

Loan processing and legal professional fees for the six years old company fattened 4.5X and 24X respectively to Rs 3.39 crore and Rs 2.64 crore during FY22. It incurred Rs 1.35 crore against software and hosting fees which pushed its overall cost by 4.4X to Rs 62.6 crore in FY22 from Rs 14.36 crore in FY21.

At the end, Progcap’s losses surged 4.4X to Rs 24.07 crore in FY22 from Rs 5.42 crore in FY21. On a unit level, the company spent Rs 2.37 to earn a single unit of operating revenue.

Progcap has raised over $100 million to date and Sequoia Capital was the largest stakeholder in the company with 31.4% holding  followed by Tiger Global and Creation Investments which command 17% and 8.1% respectively.

The company competes with other SMBs lenders such as Indifi which nears Rs 100 crore in revenue during FY22 and Lendingkart whose revenue crossed Rs 600 crore mark during the fiscal year.

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