Latest massive layoff for Malaysia's first Unicorn

mingosaur — Fri, 17 Nov 2023 08:09:50 +0800

Carsome Group Layoff

A friend of mine who worked at Carsome was just called in for a one-on-one meeting with the HR regarding the possibility of facing immediate termination, along with minimal compensation, as part of the company's downsizing measures.

It appears that Carsome has been extravagant with investor funds, and following several rounds of layoffs last year, they are now extending the retrenchment to impact rumored to be the largest this time round.

Well, that's Malaysia's unicorn for you. What other areas do you think Carsome has fallen short? Seems like spending investor money like water this. Even the Eric Cantona campaign costed like ~USD 20 mil. LOL

https://www.freemalaysiatoday.com/category/...a-govt-bailout/

'After all, it has bulldozed through 12 funding rounds, raising some US$607.4 million (RM2.81 billion) via 26 investors in the eight years since its inception in 2015. A large chunk of the money – US$290 million (RM1.34 billion) – was raised in its most recent funding round in January.

In 2021, the group posted a revenue of US$655.9 million (RM3.03 billion). However, it only managed a 5.5% gross profit of US$35.9 million (RM165.8 million).

After accounting for non-cash flow related losses, the group closed 2021 with a net loss of US$138 million (RM637.15 million).

Cash used in operating activities was a whopping US$114 million (RM526.34 million) in 2021, implying a nine-fold increase in operating burn from 2020.

Carsome accelerated its spending in 2022, as evidenced by their Eric Cantona (ex-Manchester United football star) marketing campaign, reported to cost US$28.7 million (RM132.51 million).'

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Latest massive layoff for Malaysia's first Unicorn