Fintech startup CheQ reported a revenue of Rs 16.14 crore in FY24, a 7.6X jump from Rs 2.11 crore in FY23. However, the company’s net loss widened significantly to Rs 69.65 crore in FY24, compared to Rs 19.42 crore in FY23, as expenses surged nearly fourfold to Rs 85.75 crore.
Founded in 2021 and headquartered in Bengaluru, CheQ is building a credit management platform aimed at simplifying the discovery, tracking, and payment of credit products like BNPL and credit cards on a singular platform. By providing a 360-degree view of credit health, CheQ enables customers to make informed financial decisions and exhibit prudent behavior.
Over 89% of its revenue was derived from operations in FY24, up from 0.6% in FY23. Its operating revenue streams include platform fees, constituting over 84% of the total revenue; web advertisement services (export revenue), constituting over 7% of the total revenue; web advertisement services (domestic revenue), constituting over 6% of the total revenue; and commission income, constituting around 0.76% of the total revenue.
Employee benefits constituted 25.82% of expenses in FY24, down from 33.84% in FY23, while advertisement costs accounted for 38.96% of FY24 expenses, compared to 40.99% in FY23. Depreciation costs saw a slight increase to 2.45% of expenses in FY24, up from 0.58% in FY23, while finance costs remained steady at 0.37% of expenses.
CheQ’s financial metrics reflect its growth stage, with a negative EBITDA margin of -415.99% and a ROCE of -272.02% in FY24, compared to -912.68% and -31.51%, respectively, in FY23.
The startup has raised a total of Rs 132.29 crore in funding across three rounds, with the latest funding raised in June 2024. Key shareholders include founder Aditya Soni (56.63%), the ESOP pool (6.97%), Multily Ventures (2.19%), and Sherpalo LLC (1.76%).