Zoomcar registers 40% revenue growth in 2017

Self-drive car rental service startup Zoomcar claims to have become operationally profitable in December 2017.
 
According to Greg Moran, CEO of Zoomcar, the company's revenues are up over 40% from the previous year and the company may now plan to enter Southeast Asia and Africa in 2018.
 
"As we have added more fleet, we have been able to have much higher gross profit; our gross profit has gone up considerably; our fixed cost base is efficient and we don't have a massive headcount and we don't have significant marketing spends; [we have] more organic growth," said Moran to ET, explaining how the company hit operational profitability last month.
 
The company presently has a fleet size of over 3000 vehicles and a customer base of over 3 million individuals across 27 cities in India, with plans to expand to a few more cities next month.
 
According to Moran, this year the company will continue to build out its marketplace model and will focus on going deeper into existing cities in India, besides exploring international markets.
 
"We have seen stronger app penetration in tier two markets than tier one, in terms of challenges it was more about hitting scale and cost efficiency to reach operational profitability," added Moran. However, the company still sees maximum demand from the top five metropolitan cities in India.
 
The company recently launched a bicycle sharing service called PEDL that is available across seven cities in select corporate parks, communities and educational institutions including IISC Bangalore. Zoomcar's marketplace model, Zoomcar Associate Programme, which launched in 2016, has allowed users to buy vehicles on the company's behalf.
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