D2C Fashion Startup The Souled Store Records INR 18.2 Cr In FY24 PAT, Posts Profit For the 1st Time

The Souled Store

Three points you will get to know in this article:

  • The Souled Store became profitable in FY24 on the basis of a robust growth in its top line and improvement in margins.
  • Operating revenue increased 54.26% to INR 360.2 crore from INR 233.5 crore in FY23.
  • The company’s overall expenses increased by 40.12% to INR 354.5 crore from INR 253 crore in FY23.

D2C Brand The Souled Store Revenue, Profit Numbers Out

The Souled Store logo

The Souled Store is a D2C fashion startup became profitable in the fiscal year ending March 2024 (FY24), owing to substantial top-line growth and margin improvement. The firm made a net profit of INR 18.2 crore during the fiscal year under review, compared to a loss of INR 16.5 crore in FY23.

Founded in 2013 by Vedang Patel, Rohin Samtaney, Aditya Sharma, and Harsh Lal, The Souled Store began as a branded product apparel firm before evolving into its present D2C casual wear brand form. It also sells backpacks, sneakers, shoes, and socks to consumers of all ages.

Operating revenue increased by 54.26% to INR 360.2 crore from INR 233.5 crore in FY23. It generated INR 5.2 crore from membership fees, with the remaining revenue coming from product sales.

The firm achieved an EBITDA profit of INR 18.6 crore in FY24, compared to an EBITDA loss of INR 8 crore the prior year. EBITDA margin rose to 5% from -3% the prior year.

Its cash and cash equivalents were INR 14.4 crore at the end of FY24, compared to INR 114.1 crore a year earlier.

The Souled Store Investors, Funding Rounds, Total Funding

So far, the Souled Store has raised approximately $30 million in fundraising. It most recently raised INR 135 crore in 2023 through a strategic funding round headed by Xponentia Capital.

Elevation Capital and RPSG Capital, the company’s current investors, also participated in the funding round.

The Souled Store's Total Costs, Expenses

The Souled Store’s overall expenses increased by 40.12% to INR 354.5 crore from INR 253 crore in FY23.

The D2C fashion brand spent INR 39.3 crore under Employee Benefit Expenses, up 33.67% from INR 29.4 crore in FY23. This means that it expanded its headcount during the fiscal year under consideration.

According to LinkedIn data, it has boosted its headcount by 23% in the past year.

Advertising and Promotional Expenses increased 33.07% year on year to INR 68 crore in FY24.

The firm draws Gen Z customers by delivering limited edition/exclusive items in partnership with multinational movie/webseries brands such as MCU and DCU, among others. For this, it pays royalty to the brands, which increased 13.5% to INR 13.4 Cr from INR 11.8 Cr the previous fiscal year.

It spent INR 14 crore under Job Work Charges, down 36.36% from INR 22 crore in FY23.

Start typing and press Enter to search

Shopping Cart