Licious Slashes Losses! IPO Dream Closer as Revenue Soars - What Investors Need to Know!

Author

Satyam Jha | Whalesbook News Team

Detailed Coverage:

Bengaluru-based Licious, a well-known meat delivery startup, has reported a consolidated net loss reduction of 27% to INR 218.3 crore for the fiscal year 2025, compared to INR 298.6 crore in the previous fiscal. This improvement is attributed to strong revenue growth and controlled expenses.

Operating revenue saw a healthy increase of 16%, reaching INR 797.2 crore in FY25 from INR 686.9 crore in FY24. Including other income, the total income stood at INR 844.6 crore. The company also managed to reduce its EBITDA loss by 45% to INR 163 crore in FY25. Licious operates on a farm-to-fork model, overseeing its entire supply chain, and offers a range of meat products through its website, quick commerce platforms, and offline stores.

Despite revenue growth, total expenses remained nearly flat, rising only 1.4% to INR 1,060.2 crore. Key expense areas saw strategic adjustments: procurement costs increased by 10.7% to INR 521.6 crore, while employee benefit expenses were cut by 16.5% to INR 164.8 crore, and advertising expenses decreased by 24% to INR 77.6 crore.

Licious is doubling down on its omnichannel strategy, with quick commerce and offline retail as key growth drivers, and plans to expand its online presence to 50 cities. As it gears up for a potential public listing in 2026, the company has also been streamlining its operations, including discontinuing its plant-based meat platform, UnCrave, to focus on profitability.

Heading Impact: This news indicates positive financial discipline and strategic focus from Licious, which is crucial for a startup aiming for profitability and an IPO. Improved loss margins and revenue growth can boost investor confidence in the food delivery and D2C space, potentially influencing similar companies. However, Licious remains private, so direct stock market impact is limited to investor sentiment for the sector. Rating: 6/10.

Difficult Terms: Consolidated net loss: The total loss incurred by a company and its subsidiaries after all expenses and taxes have been deducted from total revenue. EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization. It is a measure of a company's operating performance. Farm-to-fork model: A system where a company controls all stages of production and distribution, from the source of raw materials to the final product delivered to the consumer. Omnichannel strategy: A business approach that integrates various channels (online, offline, mobile, etc.) to provide a seamless customer experience. D2C (Direct-to-Consumer): A business model where a company sells its products directly to consumers, bypassing intermediaries. Quick commerce: A type of e-commerce focused on delivering products very quickly, often within minutes.