Gurugram-based Park+, a provider of parking, car care, and ancillary automobile services, reported a 36.5% year-on-year increase in revenue, reaching Rs 131 crore in FY24. Despite significant growth, the five-year-old company kept losses relatively stable, increasing only by 4% to Rs 103 crore during the fiscal year, signaling a tight rein on expenses amid expansion.

Founded by Amit Lakhotia, Park+ offers solutions such as parking management for homes and offices, car cleaning, fine payments, insurance services, and more. It has expanded into FASTag issuance and EV charging networks, diversifying its service portfolio. Operational revenue—comprising services like FASTag commissions, access control rentals, and valet services—constituted 80% of its income, rising to Rs 104 crore, while product sales like FASTags and radio frequency tags formed the remainder.

The company’s expenses grew to Rs 245 crore in FY24, driven by a 29.5% rise in employee benefits (including a Rs 27 crore ESOP cost) and a 65.7% surge in material costs for FASTags and related products. These factors contributed to an expenditure-to-revenue ratio of Rs 1.87 per rupee earned, with ROCE and EBITDA margins at -72% and 68%, respectively.

Backed by $54 million in funding, Park+ was valued at $355 million during its Series C round in December 2022. Its investors include Peak XV, Matrix, and Epiq Capital, with Lakhotia holding a 45% stake. Competing with platforms like Get My Parking, Park Smart, and Drive+, Park+ has ventured into on-demand driver services, entering a segment ripe for disruption but still in its nascent stages.

While its innovative approach shows promise, the scalability and retention in ancillary auto services remain a challenge. Over the coming quarters, Park+’s ability to drive market demand and solidify its value proposition will be closely watched.