Plum Insurance revenue surges 2.5X in FY24, cuts losses by half

Tiger Global-backed employee benefits and healthcare platform Plum Insurance demonstrated impressive financial performance in the fiscal year ending March 2024. The company reported 2.5X year-on-year growth in its operating revenue and reduced losses by 54% in FY24.

Plum Insurance’s revenue from operations spiked by to Rs 41.3 crore in FY24, from Rs 16.2 crore in FY23, its consolidated financial statement filed with the Registrar of Companies (RoC) shows.

Plum Insurance offers group insurance solutions to startups and SMEs, along with health benefits such as doctor consultations, health check-ups, fitness and yoga sessions, mental wellness support, nutrition guidance, and dental care services.

Revenue from insurance commission remained the largest contributor, accounting for 93.08% of the total operating revenue. This income spiked by 2.6X to Rs 38.46 crore in FY24 from Rs 14.6 crore in FY23. Revenue from health benefit services also witnessed a significant increase of 79.9%, reaching Rs 2.9 crore in the last fiscal year.

The company made additional Rs 4 crore from interest income which pushed its total income to Rs 45.3 crore in FY24.

On the expense side, employee benefit expenses formed the bulk of spending at Rs 54.3 crore, constituting 76.7% of total expenses, though this marked a decline of 14.1% from the previous fiscal year.

Software license fees dropped 29.8% to Rs 3.44 crore, while rent expenses rose by 26.1% to Rs 3.04 crore. Fees paid for health benefits grew by 43.3% to Rs 2.88 crore. Overall, Plum Insurance's total expenses declined by 12.6% to Rs 70.8 crore in FY24, from Rs 81.1 crore in FY23.

In the end, Plum Insurance managed to decline its losses by 54% to Rs 25.5 crore from Rs 55 crore in FY23. Its ROCE and EBITDA margins improved to -39.23% and -53.64%, respectively.

Tiger Global-backed employee benefits and healthcare platform Plum Insurance demonstrated impressive financial performance in the fiscal year ending March 2024. The company reported 2.5X year-on-year growth in its operating revenue and reduced losses by 54% in FY24.

Plum Insurance’s revenue from operations spiked by to Rs 41.3 crore in FY24, from Rs 16.2 crore in FY23, its consolidated financial statement filed with the Registrar of Companies (RoC) shows.

Plum Insurance offers group insurance solutions to startups and SMEs, along with health benefits such as doctor consultations, health check-ups, fitness and yoga sessions, mental wellness support, nutrition guidance, and dental care services.

Revenue from insurance commission remained the largest contributor, accounting for 93.08% of the total operating revenue. This income spiked by 2.6X to Rs 38.46 crore in FY24 from Rs 14.6 crore in FY23. Revenue from health benefit services also witnessed a significant increase of 79.9%, reaching Rs 2.9 crore in the last fiscal year.

The company made additional Rs 4 crore from interest income which pushed its total income to Rs 45.3 crore in FY24.

On the expense side, employee benefit expenses formed the bulk of spending at Rs 54.3 crore, constituting 76.7% of total expenses, though this marked a decline of 14.1% from the previous fiscal year.

Software license fees dropped 29.8% to Rs 3.44 crore, while rent expenses rose by 26.1% to Rs 3.04 crore. Fees paid for health benefits grew by 43.3% to Rs 2.88 crore. Overall, Plum Insurance's total expenses declined by 12.6% to Rs 70.8 crore in FY24, from Rs 81.1 crore in FY23.

In the end, Plum Insurance managed to decline its losses by 54% to Rs 25.5 crore from Rs 55 crore in FY23. Its ROCE and EBITDA margins improved to -39.23% and -53.64%, respectively.

On a unit basis, the company spent Rs 1.71 to earn a rupee in FY24. The company’s current assets stood at Rs 62.2 crore, while its cash and bank balances were recorded at Rs 2.19 crore in FY24.

According to TheKredible, Plum Insurance has secured a total funding of $20.57 million to date. Its key backers includeTiger Global Management, Incubate Fund, and Surge Ventures.