Advantage Club's Revenue Surpasses INR 300 Cr in FY23

Advantage Club's Revenue Surpasses INR 300 Cr in FY23

Advantage Club, an employee engagement platform, has maintained good growth in FY23 and the company’s operating revenue rose by 93.4%. In that period, the company also managed its losses in the accounting year ending March 2023 and it is likely to turn profitable in FY24. As per the financial year filled with the Registrar of Companies, Advantage Club’s revenue from operations rose to INR 323 crore in FY23 from INR 167 crore in FY22. The firm offers employee engagement and experience solutions, which include rewards, wellness, onboarding, flexible benefits, rewards and more. This employee engagement platform claims that it works with 1,000 clients in 100 countries. In less than 5 months, the company has doubled its user base to 4 million. 

Voucher sale is the primary source of income for the company, which is worth 91.5% of the total operating earnings which mopped up 92% to INR 297 crore in FY23. Other income sources for the revenue are discount income without product margin, sale of services and brand breakage. The procurement of the vouchers is the largest cost centre accounting for 92% of the overall expenditure for reward and recognition companies. This amount rose 92.3% to INR 299 crore in FY23. The firm’s expenditure on employee benefits, information technology, advertising and promotions will reach INR 324 crore in FY23 from INR 171 crore in FY22. The high cost of vouchers subsided the revenue growth, making it hard for the firm to achieve growth. That’s why the organisation has been concentrating on achieving breakeven for the last three accounting years. 

The Take of YFS on Advantage Club’s Revenue

Your First Startup (YFS) expresses confidence in the revenue growth shown by Advantage Club in FY23. The 93.4% rise in the company’s operating revenue is great news for Advantage Club. The company is set to become profitable in FY24 as per the latest startup news.