In a noteworthy development for the aquaculture sector, AquaExchange, a full-stack aquaculture technology firm based in Bhimavaram, has reported a revenue of Rs 104.88 crore for the fiscal year ending March 2024. While this marks a significant achievement, the growth rate has slowed compared to the previous year, where the company experienced a remarkable 100% increase in operating revenue.
Financial Performance Overview
AquaExchange’s revenue from operations rose by 36% from Rs 76.73 crore in FY23 to Rs 104.88 crore in FY24. Additionally, the company reported other income of Rs 33 lakh, bringing its total revenue to Rs 105.10 crore for the fiscal year. This growth reflects AquaExchange’s ongoing efforts to support aquaculture farmers through innovative technology solutions.
- Revenue Breakdown:
- FY23 Revenue: Rs 76.73 crore
- FY24 Revenue: Rs 104.88 crore
- Total Revenue (FY24): Rs 105.10 crore
Despite the positive revenue growth, AquaExchange faced challenges with rising expenses, which impacted its overall financial health. The company’s total costs reached Rs 117 crore, driven by increased employee benefits and material costs.
Rising Costs and Increased Losses
AquaExchange’s expenses surged in FY24, with the cost of materials consumed rising to Rs 94.36 crore from Rs 71.18 crore in the previous year. Employee benefit expenses saw a staggering increase, surging 3.85 times to Rs 13.10 crore. This rise in costs contributed to a significant spike in losses, which increased by 92% to Rs 9.35 crore.
Expense Highlights
| Expense Category | FY23 (Rs Crore) | FY24 (Rs Crore) | Change (%) |
|---|---|---|---|
| Cost of Materials | 71.18 | 94.36 | 32.5% |
| Employee Benefits | 3.40 | 13.10 | 285% |
| Finance Costs | 0.68 | 1.98 | 191% |
| Depreciation & Amortization | 2.50 | 3.18 | 27.2% |
The increase in finance costs, which rose to Rs 1.98 crore from Rs 0.68 crore, suggests that AquaExchange may have taken on additional borrowing or faced higher interest expenses. The depreciation and amortization expenses also saw a rise, further contributing to the overall cost burden.
Technological Innovations and Market Position
Founded four years ago, AquaExchange focuses on leveraging technology to enhance aquaculture practices. The company offers products such as PowerMon for power management and AquaBot for feed automation, aimed at helping farmers increase crop yields and manage rising input costs effectively.
AquaExchange has attracted nearly $10 million in funding from notable investors, including Ocean 14 Capital, Endiya Partners, and Accion Venture Labs. The company’s founder and CEO, Pavan Kosaraju, retains a controlling stake of over 45% in the business, indicating strong leadership and commitment to its growth trajectory.
As AquaExchange navigates the challenges of rising costs and increased losses, its focus on technological innovation and support for aquaculture farmers will be crucial in maintaining its competitive edge in the market.
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