At the close of the financial year that will finish in March 2022, the data analytics and data engineering firm known as The Math Company successfully completed a round that was worth $50 million. The Chennai-based company received substantial capital after experiencing an increase in its operating revenue that was greater than twice as high as the previous year in FY22.
According to the company’s consolidated financial accounts that were filed with the Registrar of Companies, The Math Company’s scale increased by a factor of 2.21, going from Rs 102.64 crore in FY21 to Rs 227.31 crore in the most recent fiscal year.
The Math Company is a firm that specialises in artificial intelligence and machine learning. They assist businesses in transforming their intelligence, creating value that can be shown, and becoming self-sufficient in the management of such data. The sole contributor to the company’s revenue was the provision of services to Fortune 500 corporations operating in a variety of markets, with which the company maintains relationships.
The company also generates income from other financial sources, which during the most recent fiscal year climbed 13.6 times to a total of Rs 2.45 crore.
The fact that the Math company has approximately 1,000 data scientists, engineers, and other subject experts on staff is reflected in the amount it spends on employee benefits. This expense was responsible for 83.3% of the overall expenditure, which increased by 2.48 times to 154.37 crore rupees in FY22.
In FY22, expenses related to legal and professional services, as well as information technology, skyrocketed 4.67 times and 3.2 times, respectively, to a total of 9.16 crore and 5.19 crore.
The company increased its overall expenditures by 2.53 times, reaching Rs 185.28 crore in FY22 as a result of spending an additional Rs 4.32 crore on training and recruitment.
The Math Company was able to maintain profitability in FY22, with profits increasing by 21.1% to reach Rs 30.63 crore. Its ROCE was 13.63 percent, and its EBITDA margin was 19.67 percent. The company lost 0.82 rupees in order to make one rupee during the same time period, which is expressed as a unit cost.
It should come as no surprise that The Math Company is both lucrative and highly valued given its well-established position at the centre of the data economy. Even though the purpose of the $50 million fund raise was to fuel growth in both the United States and Europe, the company is still in a strong position to continue its rapid expansion and may even be able to pursue unicorn valuations in the future, unless it receives an acquisition offer before then. In most cases, the latter is determined by a wide range of elements, the most important of which are the cap table of the company and the promoters’ interests. In this scenario, the promoters save enough to be able to make a decision whenever they want to, which frees them up to concentrate on the company’s expansion for the time being.