Pepperfry IPO likely in 12-18 months, says CEO Ambareesh Murty
Ambareesh Murty said recent initiatives have brought the online furniture retailer close to profitability and it almost broke even in August
September 28, 2020 / 11:06 AM IST
Pepperfry co-founder and CEO Ambareesh Murty said the company is aiming for an initial public offering (IPO) within 12-18 months.
Murty told Mint that the online furniture retailer is turning profitable and nearly broke even in August 2020.
"In August, we almost broke even and became close to profitable. All the things we did through the lockdown brought us close to profitability," Murty said, as quoted by the publication.
He also spoke about the impact of the COVID-induced lockdown, which had severely hit e-tailers due to restrictions on the movement of goods.
Murty said Pepperfry's business has grown each week after restrictions were eased.
"Work-from-home furniture has picked up quite well. But it's still about 20 percent of our business compared to sub-10 percent pre-COVID. Discretionary spends remain an issue but people are buying regular furniture because they are spending more time at home," Murty said.
Murty also mentioned how a US listing would differ from an Indian listing.
If an Indian company is listed in the US, it would be viewed as an emerging markets business. The company would be evaluated based on the rate of growth of the business and the degree of profitability.
"However, if listing in India, then you would be looked at as a consumer brand. A consumer brand in India gets remarkable premium and this is based on the brand being known, differentiated and that it makes money," he said.