ShareChat Reports 33% Revenue Growth, Significant Loss Reduction in FY24

Social media company ShareChat reported a 33% year-on-year revenue growth, reaching ₹718 crore in FY24, up from ₹540 crore in FY23. The company also made significant progress in cutting losses, with adjusted EBITDA losses dropping by 67% from ₹2,400 crore in FY23 to ₹793 crore in FY24.

Advertising revenue rose by 23% to ₹315 crore, supported by diversification across sectors, particularly in FMCG and mid-market advertisers. The livestreaming segment also witnessed robust growth, climbing 41% year-on-year to ₹402 crore, driven by more paying users on ShareChat and Moj platforms.

As of October 2024, the ShareChat app is fully profitable, with an EBITDA margin exceeding 15%. Moj has achieved operational profitability, covering all costs except salaries, and is expected to be fully profitable by the end of FY25. This success is attributed to strong revenue growth and a focus on cost optimization, particularly in server infrastructure, where costs per user have been reduced by 50% since early 2024.

Advertising revenue per user grew by 25%, while livestreaming business margins improved by 10 percentage points. Enhanced feed ranking systems have increased long-term user retention by 10 percentage points, significantly reducing user acquisition costs to almost zero.

Ankush Sachdeva, CEO and co-founder of ShareChat and Moj, highlighted, “We’ve successfully reduced costs and ramped up revenues. Strategic investments in product development and recommendation engines have paved the way for profitability, with the ShareChat app now EBITDA positive. We aim to achieve profitability at a company level soon.”

Looking ahead, ShareChat anticipates FY25 EBITDA losses to be one-third of FY24 levels, with the consolidated business projected to generate positive cash flow by early FY26.