Amidst the brouhaha of Startups shutting shop, laying off and reporting eye-popping losses, we forgot to notice and appreciate those that continued to record impressive growth and showed utmost resilience in the face of poor investor sentiments and global macro-economic headwinds.
We scanned through all the Unicorns to identify the bright spots in 2023. Here's how we shortlisted them:
y-o-y revenue growth in FY22-23 by at least 10%
Consolidated annual revenue in FY2022-23 of at least INR 500 Crores
Improvement in profit margins y-o-y
Profit margin of negative 20% or better
No fall in valuation
Out of the 91 Unicorns only 10 Unicorns could pass all the 5 conditions above. However, only 4 out of these 10 Unicorns were such who did not layoff any of its workforce in 2023 to improve their margins. These 4 Unicorns clearly stand out from the rest and are bound to record a rise in their valuations if and when they raise fresh capital from VC or IPO. Here are the names:
Digit Insurance | Fractal | Groww | InCred | |
Sector | Fintech | AI | Fintech | Fintech |
Primary Business Activity | App based insurance platform | AI powered B2B solutions | App based trading and investment platform | Online platform offering diversified loans |
FY22-23 Revenue | ₹5,164 Crores ($712 Million) | ₹1,985 Crores ($247 Million) | ₹1,258 Crores ($157 Million) | ₹865 Crores ($106 Million) |
Return on Capital Employed (ROCE) | 14% | 22% | 18% | 30% |
Growth in revenue YoY | 52% | 51% | 261% | 77% |
FY22-23 Net Profit Margin | 7% | 10% | 6% | 14% |
Valuation | $4 Billion | $1 Billion | $3 Billion | $1 Billion |
This article is a part of the January'24 edition of our Startup Newsletter. Here's the complete publication:
