Smart locks startup doubles revenue in 2023, buoyed by US growth

Igloocompany, a smart access startup headquartered in Singapore, is on a mission to create a world without keys. Founded in 2015, the firm has developed a range of smart home products, including digital door locks and software that optimizes and secures residences, schools, gyms, and even golf courses.

In 2023, the Igloocompany group – which consists of the main firm and a China-based subsidiary that develops and assembles digital locks – almost doubled its revenue year over year to S$14.7 million (US$11.3 million).

The firm’s audited financial statements also show it saw an over 2x upsurge in its gross profit last year, even as its cost of sales rose by 51%.

Anthony Chow, CEO of Igloocompany / Photo credit: Igloocompany

While the firm targeted Asia in its initial years, it unlocked the pathway to further growth with an expansion to the US. Orders for its products surged in the country in 2022, Igloocompany CEO Anthony Chow previously told Tech in Asia.

To better capitalize on the US’ growing rental market, Chow established a local office in the country, which accounted for over half of Igloocompany’s business as of May. Europe made up 20% of the business, with the rest coming from Asia.

Trimmed losses

In 2023, Igloocompany recorded a decrease in losses – the first since 2017 – according to data from Alternatives.pe, which tracks company filings in Singapore.

Losses for the year were US$2.7 million, down from US$8.5 million in 2022. At the same time, the company slashed administrative and other expenses by almost 40%.

With cash flows used in operating activities turning positive in 2023, up from negative US$6 million in 2022, Igloocompany ended last year with US$2.1 million in cash and cash equivalents – almost twice as much as what it had at the end of the previous year.

Igloocompany did not respond to Tech in Asia’s multiple requests for comments on its financial results.

To date, the firm has sold over 300,000 locks and devices in 80 countries through its online store, ecommerce platforms like Lazada and Amazon, as well as offline retail partners like Best Buy and Home Depot.

The company has also rolled out property and infrastructure safety solutions for businesses, with a focus on remote access monitoring and management. These include smart padlocks, keyboxes, and door handles, which it sells under Iglooworks, a dedicated line of enterprise-focused smart access solutions.

It works with over 1,500 businesses, including rental firm Airbnb, budget hotel chain Oyo, and Singapore telecom giant Singtel, which previously invested in the startup through its corporate venture capital arm Singtel Innov8. It also has 130 distribution partners worldwide, according to its website.

Expanding westward

Having a local presence in the US is vital in building trust with Igloocompany’s local customers, Chow shared earlier this year. That said, the startup’s engineering, firmware development, and manufacturing operations are still based out of Asia.