Wakefit enters Rs 1,000 crore revenue club, returns to Ebitda profitability
Left to Right – Yash Dayal, Chief Technology Officer, Wakefit.co, Chaitanya Ramalingegowda, Director and Co-Founder, Wakefit.co, Ankit Garg, Founder, Wakefit.co
Wakefit.co, India’s largest direct-to-consumer (D2C) home and sleep solutions company, said it has achieved a significant milestone — crossing the Rs 1,000 crore revenue mark, by recording Rs 1,017 crore for FY24. This marks a year-on-year revenue increase of 24 per cent from FY23. The company, which was Ebitda profitable for the first four years of its operations, marked its return to profitability this year, with an Ebitda of Rs 65 crore. Wakefit said it will continue chasing double-digit growth for FY25 and focus on expanding its product categories, doubling down on omnichannel expansion, and continuing to invest in brand-building initiatives.
“Crossing the Rs 1,000 crore revenue milestone marks a significant achievement for us. Our 24 per cent year-on-year growth underscores our commitment to delivering innovative and high-quality products while staying attuned to the evolving needs of Indian households,” said Chaitanya Ramalingegowda, co-founder and director, Wakefit. “As we look ahead, we are confident that our strategic focus on product category expansion, omnichannel retail growth, and continued brand-building will help us sustain this momentum and drive double-digit growth in the coming year.”
Click here to connect with us on WhatsApp
Ankit Garg, co-founder and chief executive officer, Wakefit, said that returning to profitability with an Ebitda of Rs 65 crore is a testament to the resilience of the business model and the efficiency of operations. “This milestone reflects the disciplined financial management we have implemented while continuing to invest in areas that fuel growth,” said Garg. “As we prepare for the next phase, we will focus on sustaining this profitability while scaling our business, ensuring that our long-term growth trajectory remains strong.”
The firm has expanded into home decor, lighting, furnishings, and more to complement its existing sleep and furniture categories. It has ramped up its portfolio to over 100 categories and 6,000 stock-keeping units. The launch of the artificial intelligence-powered sleep solutions range, Zense, also marks Wakefit’s entry into SleepTech, helping the company address prominent white spaces in the market. It aims to continue building depth and width within each category to cater to a wide customer base. Robust category expansion is set to be a major lever to drive growth in the next few years.
The firm is also focusing on omnichannel expansion. Consumer trends have shown that retail stores have a significantly higher average order value (AOV), and customers have a deeper engagement with the brand. As customer research journeys and buying behaviours have evolved, Wakefit believes that an omnichannel strategy is crucial to catering to customers across various touchpoints. Since its foray into offline retail in 2022, the company now operates over 80 stores across 26 cities and plans to increase this to 120 stores steadily in the next 6 months.
Wakefit aims to reach deeper pockets of the country with its marketing and brand-building initiatives. In comparison to the previous year, the company’s top-of-mind awareness grew by nearly 40 per cent this year. The company will continue to invest in the brand while also ensuring financial prudence to fuel its next stage of growth.
First Published: Sep 30 2024 | 4:06 PM IST