The Rapido Business Model of Rides, Delivery and Subscriptions
How Rapido earns from delivery, ride commissions and subscriptions
Key Takeaways
- Revenue from operations was ₹934 crore in FY25, up 44% from ₹648 crore in FY24.
- Net loss was ₹258 crore in FY25, against ₹371 crore in FY24.
- Delivery brought ₹340 crore, ride commissions ₹277 crore and subscriptions ₹275 crore in FY25.
- Total expenses were ₹1,261 crore in FY25, up 18.3% from ₹1,066 crore.
- Rapido raised $240 million at a $3 billion valuation in May 2026.
The Rapido business model connects riders with captains for bike taxis, autos and cabs, and earns money from delivery services, ride commissions and subscription income. Rapido's revenue from operations was ₹934 crore in FY25, and its net loss was ₹258 crore.
Rapido is based in Bengaluru.
Rapido at a glance
| Item | Detail |
|---|---|
| What it does | Books bike taxis, autos and cabs, and runs delivery services |
| Headquarters | Bengaluru |
| Founded | 2015 |
| Founders | Aravind Sanka, Pavan Guntupalli and Rishikesh SR |
| Revenue from operations, FY25 | ₹934 crore |
| Net loss, FY25 | ₹258 crore |
| Cities | More than 400 |
| Valuation | $3 billion, as announced in May 2026 |
| IPO status | Co-founder Aravind Sanka said in November 2025 that Rapido expects to start working on an IPO by the end of 2026 |
What Rapido does
Rapido is an app that lets people book rides on bike taxis, autos and cabs. It also offers delivery services.
Rapido was founded in 2015. In August 2025 it began testing Ownly, a food delivery app, in parts of Bengaluru.
The people who drive or deliver on the platform are called captains. A rider or sender books a trip in the app, and a captain accepts it.
How the Rapido business model makes money
Rapido reported revenue from operations of ₹934 crore in FY25. Three streams made up most of it: delivery services, ride commissions and subscription income, which together came to ₹892 crore.
| Revenue stream, FY25 | Amount |
|---|---|
| Delivery services | ₹340 crore |
| Ride commissions (platform revenue from rides) | ₹277 crore |
| Subscription income | ₹275 crore |
How Rapido makes money from delivery
Delivery services were Rapido's largest stream in FY25 at ₹340 crore, up 28.3% from the year before.
Ride commissions and the Rapido subscription model
Ride commissions fell 23.5% to ₹277 crore in FY25, while subscription income rose nearly 14 times to ₹275 crore.
Under the subscription model, captains pay Rapido a fixed fee to use the app instead of a commission on each ride. Rapido launched its cab service on this model in December 2023, and in February 2024 it moved auto captains across India to a subscription fee. Bike taxi rides stayed on a commission on each ride.
Rapido's Business Model Canvas
Where Rapido's money goes
Rapido's total expenses were ₹1,261 crore in FY25, up from ₹1,066 crore in FY24. The largest cost was delivery charges and captain incentives at ₹500 crore, about 40% of total expenses. Research and development cost ₹108 crore.
| Cost, FY25 | Amount |
|---|---|
| Delivery charges and captain incentives | ₹500 crore |
| Advertising and promotion | ₹252 crore |
| Employee benefits | ₹207 crore |
| Research and development | ₹108 crore |
| Total expenses | ₹1,261 crore |
Rapido revenue and net loss
Revenue from operations rose 44% to ₹934 crore in FY25 from ₹648 crore in FY24. The net loss was ₹258 crore in FY25, down from ₹371 crore in FY24. Total expenses rose 18.3% over the same period.
Rapido's journey so far
| When | What happened |
|---|---|
| December 2023 | Launches its cab service on a subscription fee model |
| February 2024 | Moves auto captains across India to a subscription fee |
| September 2024 | Raises $200 million in a Series E round led by WestBridge Capital at a $1.1 billion valuation |
| August 2025 | Begins testing Ownly food delivery in parts of Bengaluru |
| September 2025 | Swiggy sells its roughly 12% stake to Prosus and WestBridge Capital, at a $2.3 billion valuation for Rapido |
| May 2026 | Raises $240 million at a $3 billion valuation, led by Prosus, with WestBridge Capital and Accel participating |
The $240 million raised in May 2026 was part of a larger $730 million deal that combined new shares with the sale of existing shares.
Rapido's expenses against income
Rapido's FY25 total expenses of ₹1,261 crore were higher than its total income of ₹1,003 crore, which resulted in a net loss of ₹258 crore. Co-founder Aravind Sanka said in November 2025 that Rapido expects to start working on an IPO by the end of 2026.
Conclusion on the Rapido business model
Rapido is a Bengaluru-based platform that connects riders with captains for bike taxis, autos and cabs, and also runs delivery services. It earns money from delivery services, ride commissions, subscription income and other streams.
In FY25 it reported revenue from operations of ₹934 crore and a net loss of ₹258 crore. In May 2026 it raised $240 million at a $3 billion valuation.
