Supply-chain financing startup Mintifi has raised $180 million in a Series E funding round this month, with GTV and Prosus as co-leads. This funding follows a remarkable 4X profit after tax (PAT) surge and a 72% year-on-year growth in operating scale during FY24.
Before diving into Mintifi’s expense trends, let’s examine the company’s revenue streams and performance over the past fiscal year.
As per its consolidated annual financial statements filed with the Registrar of Companies (RoC), Mintifi’s operating revenue increased to ₹384 crore in FY24, up from ₹223 crore in FY23.
Established in 2017 by Anup Agarwal, Ankit Mehta, and Sanjoy Shome, Mintifi specializes in last-mile distribution networks, providing SMEs across various sectors with payment, invoicing, and financing solutions.
Interest income from loan disbursements made up 80% of Mintifi’s revenue, doubling to ₹308 crore in FY24. The remaining revenue came from selling goods, primarily textiles, recorded as inventory and purchased by distributors or retailers on deferred payment terms.
Additionally, Mintifi generated ₹17 crore from interest on current investments, bringing its total revenue to ₹401 crore, a 76.6% increase compared to ₹227 crore in FY23.
The Mumbai-based firm’s employee benefit expenses rose by 65% to ₹66 crore in FY24, while the cost of inventory procurement reached ₹70 crore during the same period. Finance costs grew by 54% to ₹54 crore in the last fiscal year, reflecting the company’s expanding operations.
Overall, the Premji Invest-backed company’s expenditures, driven by legal, training, recruitment, impairment losses, and other overhead costs, increased by 44.3% to ₹277 crore in FY24, up from ₹192 crore in FY23.
Mintifi achieved a 3.7X jump in profits, reaching ₹92.5 crore in FY24, compared to ₹24.8 crore in FY23, driven by significant scale and controlled spending growth. The company also saw improvements in its financial metrics, with its ROCE rising to 12.2% and EBITDA margins reaching 46.7%. Its expense-to-earnings ratio stood at ₹0.72. As per its annual report, Mintifi’s current assets totaled ₹2,343 crore, including ₹200 crore in cash and bank balances as of March 2024.
Mintifi has raised approximately $340 million, including its recent $180 million Series E round—a mix of primary and secondary funding—valued at $850 million. Founded seven years ago, the firm counts Prosus, Elevation Capital, Premji Invest, and Lok Capital among its key investors.
Mintifi has successfully leveraged the inefficiencies in public sector bank lending and the broader banking sector to build a robust financing-focused business. However, it faces growing competition from startups that initially offered a wider range of solutions but later identified financing as a scalable and profitable niche.
Despite the competition, Mintifi has shown remarkable business acumen, earning investors’ trust and scaling rapidly. At its current pace, the company could gear up for an IPO in 2025, achieving valuations well beyond the unicorn threshold.
