Ride-hailing startup Rapido reported a 152% year-on-year growth in its gross order value (GOV) to ₹2,461 crore for the quarter ended September compared with ₹977 crore in Q2 FY24.
The homegrown bike taxi startup reduced its losses to ₹17 crore for the second quarter from ₹74 crore in the corresponding quarter of the previous year.
The number of ride orders doubled year-on-year to 207 million, it says in a statement. The company’s daily ride volume now averages 2.6 million, serving 17 million passengers monthly through around 2 million drivers.
The company says it strategically optimised its fixed costs, achieving a 50% reduction on a per-unit basis without increasing its overall budget.
Rapido says its expansion of cab services in January has broadened its service portfolio. “The introduction of a Software-as-a-Service (SaaS) model empowered driver-partners by enhancing their earning potential, resulting in a more satisfied and stable driver base. Rapido’s diversified offerings across bike taxis, autos, and cabs cater to a wide range of commuter needs,” the company says.
This comes two months after Rapido has $200 million in its Series E funding round, propelling the mobility startup into the much vaunted unicorn club. The investment elevates Rapido’s post-money valuation to $1.1 billion. The Series E funding round was led by WestBridge Capital. The round also saw participation from existing investor Nexus, along with new investors Think Investments and Invus Opportunities.
Rapido plans to use the fundraise to grow its operations across all categories, including bike-taxis, three-wheelers, and taxi-cabs. The newly raised funds will be strategically allocated to expanding Rapido’s operations across India and scaling its technology platform to enhance service delivery, the startup had said.
“With this new infusion of capital, we are eager to explore and expand our offerings, ensuring we meet the evolving needs of our customers. Over the past year, we've experienced significant growth, with our daily rides surging to 2.5 million. This investment will empower us to continue innovating and improving our services, allowing us to better serve our customers and make significant strides in enhancing urban mobility for everyone,” said Aravind Sanka, co-founder of Rapido.
Initially focused on bike-taxis, the startup has since diversified into auto and cab services, expanding its value proposition and strengthening its operations. Rapido has also extended its reach beyond metro cities, establishing a presence in over 100 cities, including tier 2 and 3 cities across the country.
Swiggy-backed bike taxi startup Rapido is aiming to achieve 15-20% of its total revenue through cab services by 2025, Fortune India reported earlier. Rapido, which was founded in 2015, announced its entry into the cab market through a SaaS-based (software-as-a-service) platform last year. The company initially launched a fleet of 1-1.5 lakh vehicles across Delhi-NCR, Hyderabad, and Chennai. Through its cab services, the bike taxi startup aims to compete with other cab aggregators such as Ola, Uber, and InDrive among others.
