Zomato Media Private Limited (Zomato) is a leading food-tech company based in Gurgaon, India. Being a rapidly
Question:
Zomato Media Private Limited ("Zomato") is a leading food-tech company based in Gurgaon, India. Being a rapidly growing company with negative profitability, Zomato needs to raise external funds to invest in its growth and market leadership position. Consequently, Zomato is looking to raise capital to the tune of . Your Venture Capital firm is quite interested in investing in technology driven sectors in India. Zomato's leadership and the large market potential makes it a compelling candidate and you have decided to conduct further due diligence on Zomato. You are requested to conduct a thorough financial performance analysis on Zomato as below and Please provide your commentary on revenue growth and profitability trends for Zomato and whether the business makes sense from an investment perspective
Zomato Standalone Financials
Rs. Cr. | FY2015 | FY2016 | FY2017 | FY2018 | FY2019 |
Income Statement | |||||
Net Sales | 79 | 134 | 245 | 371 | 1,159 |
% yoy growth rate | - | 82.996 | 51.49 | ||
Other income | 16 | 21 | 65 | 17 | 191 |
Total Income | 95 | 155 | 310 | 388 | 1,350 |
Employee Expenses | 98 | 168 | 187 | 195 | 409 |
Other Expenses | 63 | 139 | 150 | 229 | 2,632 |
Total Expenditure | 160 | 307 | 337 | 424 | 3,041 |
EBITDA | (66) | (152) | (27) | (35) | |
Depreciation | 5 | 22 | 18 | 13 | 10 |
EBIT | (71) | ||||
Interest | 1 | 4 | 15 | 24 | 58 |
PBT | (71) | ||||
Exceptional items before Tax | - | - | - | (7) | 1,188 |
- | - | - | - | - | |
PAT |
Balance Sheet
Net Foxed Assets | 16 | 28 | 13 | 5 | 35 |
Non-Current investments | 470 | 698 | 217 | 418 | 664 |
Other Long Term Assets | 3 | 10 | - | 0 | 3 |
Total Non-Current Assets | 489 | 736 | 230 | 424 | 703 |
Trade Receivables | 9 | 9 | 14 | 19 | 63 |
Inventories | - | - | - | - | - |
Cash and Bank Balance | 13 | 183 | 84 | 147 | 153 |
Current Investments | 164 | 48 | 34 | 820 | 2,134 |
Other Current Assets | 8 | 25 | 78 | 104 | 762 |
Total Current Assets | 195 | 265 | 210 | 1,089 | 3,112 |
Total Assets | 683 | 1,002 | 440 | 1,513 | 3,814 |
Long Term Borrowings | - | - | - | - | - |
Non-Current Liabilities | 3 | 121 | 9 | 6 | 11 |
Trade Payables | 8 | 18 | 26 | 55 | 316 |
Short Term Borrowings | 0 | 304 | - | - | - |
Other Current Liabilities | 10 | 1 | 21 | 33 | 279 |
Total Current Liabilities | 18 | 322 | 46 | 88 | 595 |
Total Liabilities | 21 | 444 | 56 | 94 | 606 |
Shareholder's Equity | 662 | 558 | 384 | 1,419 | 3,208 |
Total Equity + L | 683 | 1,002 | 440 | 1,513 | 3,814 |
International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr