Lenskart Eyes $1 Billion IPO as Revenue Hits $755 Million
By ScanX News Team
SoftBank-backed Lenskart achieved $755 million in revenue, marking 17% year-on-year growth. The company is preparing to file its DRHP for a $1 billion IPO, potentially valuing it at $10 billion. Revenue breakdown shows $455 million from India and $300 million from international markets. Lenskart maintains strong financial metrics with EBITDA margins of 18-22%, gross margins of 70%, and $200 million in net cash. The company's international expansion includes a $400 million acquisition of Japanese eyewear chain Owndays and a joint venture in China for manufacturing.
*this image is generated using AI for illustrative purposes only.
SoftBank-backed eyewear startup Lenskart has reported a revenue of $755 million, marking a 17% year-on-year growth. The company is gearing up for a significant milestone as it prepares to file its Draft Red Herring Prospectus (DRHP) for a proposed Initial Public Offering (IPO) valued at $1 billion, potentially valuing the company at $10 billion.
Revenue Breakdown
Lenskart's revenue composition showcases its strong presence both domestically and internationally:
| Market | Revenue (in millions) |
|---|---|
| India | $455.00 |
| International | $300.00 |
| Total | $755.00 |
The international revenue primarily stems from Southeast Asian markets, highlighting Lenskart's successful expansion beyond Indian borders.
Financial Health
Despite a slowdown in growth rate from 46% to 17%, Lenskart maintains robust financial metrics:
- EBITDA margins: 18-22%
- Gross margins: 70%
- Average cost price: $8.00
- Average selling price: $28.00
These figures indicate a healthy profit margin and efficient cost management. Additionally, the company reported holding approximately $200 million in net cash as of the first half of the fiscal year, further solidifying its financial position.
International Expansion
Lenskart's global ambitions are evident in its strategic moves:
- A $400 million acquisition of Japanese eyewear chain Owndays in 2022, strengthening its foothold in the Asian market.
- Establishment of a joint venture in China focused on manufacturing, potentially optimizing its supply chain and production capabilities.
Looking Ahead
As Lenskart prepares for its IPO, investors will likely keep a close eye on its growth trajectory and international expansion strategies. The company's ability to maintain strong margins while scaling across diverse markets could be a key factor in the success of its public offering.
The eyewear market continues to evolve, and Lenskart's tech-driven approach, coupled with its multi-national presence, positions it as a significant player in the global eyewear industry. The upcoming IPO will be a crucial test of investor confidence in the company's business model and growth potential.
18
