Tiger Global-backed homegrown social media company ShareChat, which also operates a short video platform Moj, reported a 33% year-on-year (Y-o-Y) growth in consolidated revenue, to Rs 718 crore against Rs 540 cr in the fiscal before.
The growth in revenue comes on the back of a jump in income from the livestreaming segment which recorded a 41% Y-o-Y uptick to Rs 402 crore for the fiscal year 2024. It was also driven by continued growth momentum in paying user count across both ShareChat and Moj platforms, the company said in a release.
On the other hand, ShareChat’s advertising revenue registered a growth of 23% Y-o-Y to Rs 315 crore. The company attributed this success to the strategic diversification of its client base across various verticals, particularly in the FMCG sector and amongst mid-market advertisers.
Meanwhile, ShareChat also claimed that the company significantly improved its bottomline as adjusted EBITDA loss narrowed 67% to Rs 793 crore in FY24 from Rs 2,400 crore in the previous year.
ShareChat added that post-FY24, the company accelerated its journey to profitability, and claimed that it is fully profitable with over 15% EBITDA margin. It also claimed that the Moj app has achieved operational profitability effectively covering all costs except employee salaries. It expects the platform to be fully profitable by the end of FY25.
It said that improved feed ranking has also strengthened long-term user retention for both ShareChat and its short-video platform Moj, reducing user acquisition costs to near zero.
“Over the past few years we have been successful in cutting our costs and ramping up our revenue. This, coupled with our strategic investment in product development and recommendation engine, have charted our path to profitability, with the ShareChat app achieving EBITDA profitability,” said Ankush Sachdeva, chief executive officer and cofounder, ShareChat and Moj.
ShareChat, which was founded in 2015 by Sachdeva, Bhanu Pratap Singh and Farid Ahsan, is expecting to cut its EBITDA losses in FY25 by nearly one-third of FY24 and the consolidated business to start generating positive cash flow by early FY26.
ShareChat, which claims to have more than 325 million MAUs across all its platforms, is backed by investors such as EDBI, Temasek Holdings, Google, The Times Group, Alkeon Capital, Moore Strategic Ventures (MSV), Harbourvest, India Quotient, Mirae-Naver Asia Growth Fund, Snap, Twitter, Lightspeed, and Elevation Capital.
