Bengaluru-based car rental service platform Zoomcar has registered a 1.2x scale in its operating revenue to Rs 95 crore in the financial year (FY) 2022 compared to Rs 76.6 crore in FY21. Its short-term self-drive rental services and vehicle subscriptions have been its primary sources of revenue generation. 

The company also managed to narrow down its losses in FY22. It registered Rs 74 crore in losses in FY22 compared to Rs 160 crore in the previous fiscal year. Witnessed a 52 per cent reduction in losses. 

In an attempt to get listed on NASDAQ ( National Association of Securities Dealers Automated Quotations), the company recently inked a merger pact with blank check company Innovative International Acquisition Corporation. 

Despite posing a reduction in losses it witnessed a 1.2x increase in its net expenditures. In FY22, Zoomcar reported Rs 359.4 crore in net expenses compared to Rs 287.5 crore in FY21. 

The expenditure increased largely because of its rising employee benefits costs. In FY21, its employee benefits expense stood at Rs 79 crore, whereas it went to Rs 119 crore in FY22, recording a 31 per cent year-on-year (Y-o-Y) spike. It spent Rs 79.9  crore on employees’ salaries and wages. 

The advertising and promotional costs registered a 5.8x spike in FY22. In FY21, the company recorded Rs 10.7 crore in promotional costs, whereas it increased to Rs 62.3 crore in FY22.