Omnichannel eyewear retailer Lenskart posted a loss of Rs 102 crore in FY22 against a profit of Rs 29 crore reported in FY21, hit by an increase in input costs, employee-related spends and marketing expenses. The company, however, saw its operating revenue surging 66% to Rs 1,503 crore in FY22, up from Rs 905 crore in FY21, regulatory filings showed.
The increase in revenue was offset by a 73% surge in Lenskart’s total expenses. The company spent Rs 1,726 crore in FY22, an increase from FY21’s Rs 999 crore.
Further, hurt by price pressures, the company’s cost of procurement also jumped 88% to Rs 635 crore in FY22 on a year-on-year basis. In comparison with FY21, Lenskart spent 72% more on marketing and promotion in FY22 which totalled to Rs 235 crore in FY22. An increase of 53% in its employee benefits, a total of Rs 245 crore in FY22, also added to the company’s total expenses.
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The expenses come on the back of the company’s aggressive expansion plans. It plans to increase its offline presence in Tier 2 and beyond cities as it also focuses on international expansion.
Founded in 2010, Lenskart has raised about $1 billion from investors like Temasek, Chiratae Ventures and Premji Invest among others and is valued at about $4.2 billion.
In mid-2021, Piyush Bansal, co-founder and CEO, said the company will go public in about three years.