CarDekho parent Girnar Software’s FY18 revenue jumps 40%, loss nearly halves

CarDekho parent Girnar Software’s FY18 revenue jumps 40%, loss nearly halves
Photo Credit: Photo Credit: Mukul Mudgal/VCCircle

Jaipur-based Girnar Software Pvt. Ltd, which owns auto portal, has recorded 40% growth in revenue and a narrower loss for the financial year ended March 2018.

In an email to TechCircle, the company said consolidated net sales grew to Rs 160 crore for 2017-18 from Rs 114 crore the year before.

The company, which also owns and portals, also said net loss shrank to Rs 70 crore from Rs 136 crore. It didn't specify any reason for the narrower loss.

Girnar said it is recording a cash burn of Rs 3.5 crore a month. It did not comment on transaction volumes.

The company said 80% revenue comes from the new-car segment and the remaining from used cars.

The company added that it now facilitates about 5,000 insurance policies a month and has recorded total premium of Rs 100 crore till date.

It said it is disbursing over Rs 60 crore a month for vehicle financing and claimed it has given out loans of over Rs 1,000 crore till date. The firm started financing and insurance services in May last year.

Girnar Software, founded in 2007 by siblings Amit Jain and Anurag Jain, also owns and online shopping adviser

The company has struck several acquisitions to expand its business. Its most recent purchase was in August when it acquired automotive content YouTube channel PowerDrift. 

It bought from Times Internet in September 2015 and acquired Naspers Group-owned in 2014.

Its other acquisitions include Drishya360s (virtual reality), Volob Technologies (AR-VR focused visual communications), Connecto (SaaS startup), Help on Wheels (roadside assistance), Valueserve  Management Consultants Pvt. Ltd (consulting firm) and Advanced Structures India (car testing and benchmarking firm).

Earlier this week, digital media publications Entrackr reported that CarDekho had raised $75 million in a Series C round of funding.

In March, media reports stated that Sequoia Capital invested around $2.5 million as part of a larger Series B round in CarDekho.

In March 2016, Girnar Software secured an undisclosed amount of investment from Google Capital as part of its extended Series B funding round.

In January 2015, it had raised $50 million in the first tranche of its Series B funding round led by Hillhouse Capital, with participation from Sequoia Capital and Tybourne Capital. 

According to information available with VCCEdge, the data research platform of News Corp VCCircle, Girnar Software has raised a little over $96 million in funding till date.

The company primarily competes with MXC Solutions India Pvt. Ltd, the operator of and websites.
Other funded companies in the segment include Droom, Spinny and Truebil. CarDekho also competes with classified portals such as Quikr and OLX.