Newjaisa Technologies Limited — Investor Meet, 10-07-2025: Analysts/Institutional Investor Meet/Con. Call Updates

NewJaisa Technologies has announced a board meeting to discuss the financial results for the quarter and half-year.

NewJaisa reported 5% revenue growth for FY25 despite Amazon discontinuing refurbished product sales in India, which impacted 60% of their revenue. They sold ~50,000 units vs 54,000 last year, with EBITDA at ₹65 lakhs. Inventory markdowns (~₹2.5 Cr) and disputed goods (~₹90 lakhs) affected profitability. Employee costs rose 30%, but other expenses were controlled.

Post-Amazon exit, NewJaisa pivoted to grow its own online channel (100% growth since March), B2B/enterprise (now 40% of revenue), education, retail, and offline distribution. Website traffic increased 5x, social media followers 3-4x, and PIN code coverage expanded from 5k to 20k with COD and EMI options added. A Bangalore pilot store scaled sales 5x to 5 units/day and is profitable.

Management expects to reach pre-Amazon revenue run rate by year-end, with PAT recovery by FY27. They continue to invest heavily in brand building (4-5% of revenue) and marketing (ATL + BTL), accepting short-term margin pressure. Fixed costs remain high but employee count was cut 25% in March.

Unit economics on the website are slightly below Amazon’s (1-2% lower gross margin including BTL spend, 3-4% lower including ATL). Gross margin normalized around 37-38% excluding one-offs. Inventory sourcing remains cautious given current stock levels.

Competition from Cashify and OLX is emerging but volumes remain smaller. NewJaisa’s pan-India AMC capability and multi-location support differentiate it in enterprise sales, with 88 new clients added recently including large NBFC and media houses.

Cash balance stands at ₹8.5 Cr with an unused OD limit of ₹15 Cr. Current monthly revenue run rate is ₹3-3.5 Cr, with break-even expected at ₹5-5.25 Cr monthly. The company views FY26 as a consolidation year focused on scaling diversified channels and brand presence.