By Inc42 Media
The customer engagement platform’s net loss surged 157% YoY to INR 109.4 in FY23
Operating revenue increased 32% to INR 419.5 Cr from INR 318 Cr in FY22
Exotel’s total expenditure zoomed 52% to INR 555.5 Cr in FY23 from INR 364.5 Cr in the previous year
Customer engagement platform Exotel
witnessed a 2.5X increase in its net loss in the financial year ended March 31, 2023. The Bengaluru-based startup’s net loss surged 157% to INR 109.4 Cr in the financial year 2022-23 (FY23) from INR 42.6 Cr in the previous fiscal year.
Founded by Shivakumar Ganesan, Ishwar Sridharan, Siddharth Ramesh and Vijay Sharma in 2011, Exotel is a cloud telephony platform that provides APIs for voice, messages and user verification services over voice telephony or internet communications.
It claims that its AI-powered solutions for agents, bots and customers enhance interactions with conversational intelligence to improve customer experience.
Exotel’s operating revenue increased 32% to INR 419.5 Cr from INR 318 Cr in FY22. Including other income, total revenue grew 36% to INR 446.6 Cr from INR 328.4 Cr in the previous fiscal.
Where Did Exotel Spend?
The startup’s total expenditure jumped 52% year-on-year during the year under review, outpacing its revenue growth. Total expenditure stood at INR 555.5 Cr in FY23 compared to INR 364.5 Cr in the previous year.
Employee Expenses: This was among the biggest expenses. Exotel spent INR 245 Cr on employee costs in FY23, an increase of 44% from INR 171 Cr in the previous year. This indicates that the startup likely increased its headcount during the year. It is pertinent to note that Exotel undertook a restructuring exercise during the year under review, which resulted in many employees losing their jobs.
Telephone Postage: Being a platform providing voice and SMS services for customer engagement over cloud, telephone postage is among the biggest expenditure for Exotel. It spent INR 177 Cr under the head in FY23, an increase of 65% from INR 107 Cr in FY22.
Advertising Expenses: Advertising expenditure jumped 136% to INR 14.07 Cr during the year under review from INR 5.9 Cr in FY22.
Exotel merged with call centre platform Ameyo in 2021. It acquired conversational AI platform Cogno AI last year to become a ‘full-stack’ customer engagement platform.
Exotel last raised $40 Mn in its Series D funding round led by Steadview Capital in January 2022. Overall, it has raised around $100 Mn to date and counts the likes of A91 Partners, Blume Ventures, and Mumbai Angels among its backers.
Earlier this year, Exotel rolled out an AI-driven solutions suite, The House of AI, for better engagement of businesses with customers. The House of AI integrates Generative AI with natural language processing, a subfield of AI that allows computers to comprehend human language and respond.