In a remarkable feat of growth and financial resilience, Chennai-based startup Plush, a new-age feminine care brand, has reported an impressive nearly threefold growth during the last fiscal year while effectively managing expenses. Led by founders Prince Kapoor and Ketan Munoth, Plush has not only witnessed substantial revenue growth but has also made significant strides in improving its bottom line.
According to the annual financial statement sourced from the Registrar of Companies (RoC), Plush achieved a substantial 2.8X growth in revenue from operations, soaring to Rs 15.72 crore during the fiscal year ending March 2023, compared to Rs 5.51 crore in FY22. This outstanding performance underscores the company’s successful strategies in the sourcing, marketing, and distribution of feminine, baby, adult, and hygiene products, focusing on delivering everyday essentials at mass premium price points.
In addition to robust revenue growth, Plush made noteworthy strides in reducing losses, posting a commendable 57.9% reduction to Rs 1.31 crore during FY23, down from Rs 3.11 crore in FY22. This improvement in the bottom line is a testament to the company’s commitment to financial discipline and efficiency.
Plush’s growth trajectory aligns with the Direct-to-Consumer (D2C) trend, driven by aggressive promotions and a healthy focus on managing costs. Notably, advertising and promotional expenses increased by 92% to Rs 5.66 crore in FY23, reflecting the company’s commitment to brand visibility and market penetration. Simultaneously, the cost of materials consumed witnessed a significant surge, reaching 2.3X growth at Rs 5.63 crore. Employee benefit costs also spiked 2.4X to Rs 1.46 crore.
The company strategically allocated funds to commission and discounts, investing Rs 1.37 crore, and Rs 92 lakh on shipping and delivery during the last fiscal year. Overall, Plush’s expenses increased by 99.8% to Rs 17.34 crore in FY23 compared to Rs 8.68 crore in FY22. On a unit level, Plush demonstrated financial prudence by spending Rs 1.1 to earn a rupee during the last fiscal year, highlighting its commitment to operational efficiency.
Plush has successfully raised approximately $2.3 million from a pool of investors, including Ashish Dhawan, Patni Family Office, Goldwinner Family Office, Ashneer Grover, Sujeet Kumar, and Gaurav Munjal, among others. This capital injection has played a crucial role in supporting Plush’s growth initiatives and market expansion.
In a competitive landscape that includes established large brands, Plush competes with emerging players such as Azah, Awni, SanFe, Heyday, among others. Plush’s impressive financial performance positions it as a formidable contender in the feminine care market, poised for further growth and innovation in the times to come. As the company continues to carve its niche, its success story serves as inspiration for aspiring entrepreneurs in the burgeoning D2C space.