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Construction materials marketplace Infra.Market reported ₹6,236 crore in revenue for FY22, which is 5X growth over the previous year.
Operating profitability (EBITDA) grew 6x from ₹69 crore to ₹410 crore. Infra.market’s EBITDA margins saw substantial improvement growing from 5.5 per cent in FY21 to 6.6 per cent in FY22. It’s net profit after tax increased to ₹186 crore in FY22 from ₹36 crore in the previous year.
Commenting on the FY22 results, Aaditya Sharda, Co-Founder, Infra.Market, said, “We have not only built a strong business but also a well-diversified one in terms of risk. We are insulated from geographical risk due to our ability to focus on cross-border opportunities. We have also gone beyond B2B, focused on retail and B2C opportunities and built our own private labelled brands to ensure we are not subject to only distribution opportunities. The launch of private labels has helped us grow our margins and differentiates us from other platforms. Our ability to also scale across industries, such as from construction materials to chemicals, also ensures that we are always looking at new opportunities for growth.”
Retail growth
He said the company’s focus will be to grow its retail and private labelled businesses at a faster pace. The company will also focus on building a layer of service in business and transform into a construction solutions company from merely a material platform. The company has also backward integrated into manufacturing through the acquisition of companies like RDC Concrete and Shalimar Paints. Infra.Market has been profitable for six consecutive years since its inception and is currently valued at $2.5 billion.
Infra.Market is present across 20 States and recently set up its global offices in Singapore and Dubai. In March, an income tax raid at Infra.Market, the authorities have found evidence of bogus purchases, huge unaccounted cash expenditure and accommodation entries aggregating to over ₹400 crore. At that time, Infra.Markert said,“As per our company policy, we ensure adherence to the applicable tax laws, at all times. We continue to work with the department to solve all their queries related to any transaction. Since the investigation is still ongoing we will wait for the final report to comment further.”
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