Amazon affiliated firm Cloudtail India has announced revenue growth of 25% to Rs 8,945 crore in FY’19. Cloudtail is the single largest seller on Amazon India’s platform. Earlier Cloudtail ran into regulatory issues that resulted in downtime in January and February. The firm is owned by Prione Business Services, a joint venture between Amazon India and Catamaran Ventures, owned by Infosys founder N R Narayana Murthy.
According to filings, Cloudtail’s expenditure went up by 27% to Rs 8,899 crore during the previous fiscal year, despite having revenue growth. The company has reported a loss of Rs 4.11 crore in FY’18 and a profit of Rs 1.6 crore in FY’17. Cloudtail reported a profit of Rs 29.4 crore in 2018-19.
Earlier in February, Catamaran Ventures increased its stake in Cloudtail’s parent company from 51% to 76%, which reduced JV partner Amazon Asia’s stake from 49% to 24% after the implementation of Press Note 2. Cloudtail thus became eligible to sell on the marketplace.
Amazon India invested only Rs 2,800 crore this year in comparison to Rs 9,450 crore in 2018. The reports have also indicated analysts stating that last year’s spike in investment can be due to Amazon’s venture into the grocery trade and for the supply chain needed for the same.