Trucknetic expects multifold growth in revenue to Rs 150 cr this fiscal

Truck hiring app Trucknetic expects around a six-fold jump in revenue to Rs 150 crore this fiscal on account of business commitment from large corporates and bookings from the SME sector, a senior official of the company said.

Trucknetic founder Arham Pratap Jain told PTI that the company's current revenue is Rs 25 crore and it has received a commitment from large corporates for business during the year which includes a single order worth Rs 200 crore spread over a period of two years.

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He said that the company's strategy is to focus on optimum utilisation of trucks registered on its platform by providing them return loads as well as reducing costs for shippers by leveraging margins it gets from truckers when they return from their destination.

"We want to become the largest trucking company in India by 2025, without owning a single truck. By 2024, we envisage having more than 10 lakh carriers on our platform and close to 2.5 lakh shippers on our platform.

"This fiscal we would be clocking revenue of Rs 150 crore," Jain said.

He said that the bootstrapped firm founded in September 2019 has been making profits for the last two years.

The company is in talks with investors to raise around Rs 75 crore in series A to expand its team and investments in technology.

"We would be spending 40 per cent of the amount of business development for marketing. Considering we do have a fantastic operations team and can provide any kind of truck in 30 minutes, from anywhere, in any capacity.

The money will majorly go to our sales team and expand offices across India. We are aiming to reach pan-India. 20 per cent will be invested in technology," Jain said.

He said that the opportunity in the Indian logistics market is about USD 215 billion dollars, and road transportation is about USD 130 billion dollars.

"Just by getting half a per cent of the market share we have the potential to become a USD 650 million company. We will be able to solve the problem of return load and save USD 45 billion dollars ideally every year," Jain said.