Monday Nov 18, 2024
Monday Nov 18, 2024
Thursday, 4 July 2024 03:55 - - {{hitsCtrl.values.hits}}
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| Ajith Gunewardene |
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| Jiffry Zulfer
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Sri Lanka’s only digital company that operates at scale PickMe has completed an outstanding year in FY24 reflecting its maturity and propelling it into its 10th anniversary this year.
Reaching a user base of an all-time high by the end of FY24, the gross transaction value facilitated by the App, reflecting economic value the PickMe platform generated for independent third-party drivers and third-party merchants increased by 118% to Rs. 39 billion. The company’s revenue increased by 100% to Rs. 3.9 billion. PickMe Flash the on-demand delivery functionality of the app and PickMe bikes functionality of the app have showcased promising adoption rates, indicating sustained interest and growth potential.
The strong top-line trends coupled with the company’s rigour in cost management saw pre-tax profit soar to Rs. 993 million from Rs. 69 million. PickMe continues to increase its cash reserves which now exceed Rs. 1 billion which the company plans to strategically allocate between ensuring sufficient liquidity to fuel future growth and providing long term shareholder return.
PickMe Chairman Ajit Gunewardene said: “The company has reached a pivotal inflection point early this year, and we are now achieving strong profitable growth at scale.”
The total movements on the platform increased by 164% to 58 million in FY24 reflecting both an increase in the user base and their level of engagement on the platform. Despite a general inflationary environment in FY24, the PickMe platform’s innovative technology solution delivered an 11% YoY decrease in average ride hailing fares per kilometre.
“This efficiency gain is attributed to optimising resource allocation and fostering streamlined experiences for both independent third-party drivers and consumers,” according to Gunewardene.
Additionally, independent third-party driver utilisation rates jumped by an impressive 14% YoY, and consumers experienced a 9% YoY decrease in average wait times due to enhanced matching algorithms and optimised route planning.
Its technology platform also fuelled a remarkable 115% YoY growth in logistics and parcel delivery trips fulfilled by independent third-party drivers. These solutions offer increased operational efficiency for small and medium-scale businesses in the country.
Playing a dynamic role in the nation’s economic recovery by providing a cost-effective mobility solution, PickMe’s two-wheeler trips facilitated via the app fulfilled by independent third-party drivers contributed to 5% of the ride hailing volume from 0.7% in FY23.
This two-wheeler product category, leveraging the platform’s technology, emerged as the fastest-growing segment, facilitating a cost-effective mobility solution for consumers and an earnings opportunity for independent third-party bike owners.
PickMe Founder and CEO Jiffry Zulfer said: “Innovation, technology and engineering excellence are central to our mission of revolutionising the mobility and delivery landscape. As the digital ecosystem assumes greater significance in economic activities, PickMe is at the forefront of Sri Lanka’s digital economy. Our expansion plans are poised to capitalise on opportunities in the mobility sector, and we will ensure optimal returns for our stakeholders.”
“We move into our 10th year with confidence that the momentum of last year is sustainable and profitable. The macro-economic stability will support our growth as will the need by individuals and businesses to efficiently allocate scarce financial resources and increase productivity,” emphasised Gunewardene.
“As a company we will continue to invest in innovation. Being agile, relevant, and technologically ahead of the curve is part of the organisation’s DNA,” said PickMe Chairman adding that the Company’s capital is its people and the engineering capability and the intellectual property residing within is unrivalled.
“We have much more to do, and the future will bring many opportunities. Being a digital organisation operating at scale we will be an integral part of Sri Lanka’s inevitable digital future. Not only partnering in this progress but leveraging on digitisation in general,” assured PickMe Chairman Gunewardene.
