Line Man posts 52% increase in 2022 revenue, EBIT losses improve

Photo credit: Line Man

Singapore-incorporated Line Man Corporation posted a 51.5% increase in total revenue in FY 2022, topping US$321 million, according to VentureCap Insights, which tracks filings in the city-state.

The firm’s audited financial statements show that the results include those of Line Man Thailand and Wongnai, which merged in 2020 to form Line Man Wongnai. The company serves 10 million users across 77 provinces in Thailand.

Line Man Wongnai has since grown to become one of Thailand’s major on-demand service players, holding a 24% share of the country’s food delivery market as of 2022, according to Momentum Works data. It is reportedly gearing up to raise US$300 million on the domestic bourse in 2025.

Because of the Thai firm’s success, most of Line Man’s revenue still comes from food delivery, generating US$275 million in 2022. Advertising services contributed US$19.6 million, while sales of goods chipped in US$9.9 million.

However, its revenue mix may be further diversified thanks to recent acquisitions of payments platform Rabbit Line Pay and point-of-sale (POS) startup FoodStory. With the latter acquisition, Line Man said it is the largest POS business in Thailand with 55,000 merchants on its network.

Line Man declined to comment on the results upon Tech in Asia’s request, saying that the company has a “strict confidentiality policy to comment on any specific financial information.”

Cost of revenue grew 33.5% and mostly made up the company’s total expenses for the 2022 financial year. This includes US$271.7 million in delivery costs, which grew 34.3% compared to the year before.

With increases across other expenses, including a 21.2% year-on-year growth in marketing costs, total expenses stood at US$428.4 million for 2022, widening by 31.5% from the year before.

Overall, the company logged US$111.8 million in losses for 2022, up 18% year on year. Before income taxes, however, Line Man’s losses improved slightly to US$108.4 million.

While the firm’s cash flow used in operations stayed level, cash from financing activities ballooned to US$237.9 million. This is primarily due to the US$265 million it raised in September 2022 from a series B round led by GIC.

See also: Line Man Wongnai looks beyond food delivery in quest to become the GoTo of Thailand