Cloudtail India reports 25% revenue growth for FY19
Cloudtail India, one of the largest sellers on the ecommerce platform Amazon India, posted revenue growth of 25% during the financial year ended March 31, 2019 at Rs 8,945 crore.
The company reported a net profit of Rs 29.35 crore during the reporting year as against a net loss of Rs 4.11 crore a year ago, as per regulatory filings.
The company, jointly owned by Infosys co-founder Narayana Murthy’s Catamaran Ventures and Amazon through Prione Business Services, reported the strong set of numbers for 2018-19 despite facing a policy hurdle in the second half of the year.
In February 2019, the company had reportedly suspended its operations for a week before aligning its corporate structure as per the latest ecommerce norms.
In December 2018, the government had issued new norms barring marketplace companies from owning a stake in seller companies or control over their inventories.
Cloudtail India resumed its operations after Amazon reduced its stake to 24% from 49% by selling shares to its joint venture partner Catamaran Ventures.
Cloudtail India had posted a 27% increase in 2017-18 and a four-fold increase in 2015-16 in its topline.
Cloudtail India’s inventories in rupee terms rose by Rs 461 crore in 2018-19 as against an increase of Rs 135 crore a year ago. The company sells consumer electronics, home appliances and apparel on Amazon’s ecommerce platform.
As on March 31, 2019, the company’s net debt stood at Rs 489 crore, unchanged on the year.
Appario Retail, another seller owned by Amazon jointly with Patni Group, posted revenue of Rs 755 crore in 2017-18, which was its first year of operations.