True Balance, a leading-tech startup backed by SoftBank, has achieved remarkable financial growth in the fiscal year 2022-23 (FY23). The company's consolidated net profit surged an astounding 17X, reaching INR 58.8 Crores compared to INR 3.4 Crores in the previous fiscal year. This remarkable performance can be attributed to the significant expansion in its business operations.
Robust Revenue Growth
Balancehero India Private Limited, the parent company of True Balance, reported an impressive 1.8X increase in operating revenue. In FY23, the company generated INR 431.1 Crores in operating revenue, a substantial rise from INR 243.9 Crores in FY22. This substantial revenue growth underscores the success of True Balance's business strategy and its ability to meet the evolving needs of its customers.
Expenditure and Efficiency
While True Balance achieved substantial revenue growth, it also experienced an increase in total expenses. Total expenses rose 1.5X to INR 368.2 Crores in FY23, compared to INR 239.2 Crores in FY22. These expenses reflect the investments made by the company to expand and enhance its services. Despite the increase in expenses, the significant rise in net profit indicates the company's efficiency in managing costs while driving revenue growth.
Advertising Expense Reduction
Notably, True Balance made strategic decisions in its expenditure. The company lowered its advertising expenses to INR 29.3 Crores in FY23, a reduction from INR 51 Crores in the previous fiscal year. This adjustment highlights the company's focus on optimizing its advertising budget while still achieving substantial growth.
True Balance's remarkable financial performance in FY23 showcases its ability to thrive in the competitive lendingtech sector. The 17X increase in consolidated net profit, along with a significant rise in operating revenue, reflects the company's robust business model and its capacity to meet the financial needs of a growing customer base. By strategically managing expenses and advertising budgets, True Balance has demonstrated its commitment to sustainable growth and profitability.
As the company continues to expand its digital loans and bill payment services, it positions itself as a prominent player in the fintech industry, providing valuable financial solutions to a wide range of customers. True Balance's success in FY23 is a testament to its dedication to innovation and customer-centric services, setting the stage for even more significant achievements in the future.
