ShareChat posts 33% revenue growth in FY 24 as ShareChat app becomes EBITDA profitable

26th November, 2024: ShareChat, India’s largest homegrown social media company reported a 33% Y-o-Y growth in revenue, reaching INR 718 cr, up from INR 540 cr in FY23. ShareChat also made significant strides in reducing losses as adjusted EBITDA losses fell by 67% from INR 2,400 cr in FY 23 to INR 793 cr in FY 24.

ShareChat’s advertising revenue registered a growth of 23% Y-o-Y, reaching INR 315 cr, despite a challenging macroeconomic landscape. The company attributed this success to their strategic diversification of client base across various verticals, particularly in the FMCG sector and amongst mid-market advertisers. The livestreaming segment continued an impressive growth trajectory, recording a 41% Y-o-Y uptick, reaching INR 402 cr for the fiscal year 2024. The surge was driven by continued growth momentum in paying user count across both ShareChat and Moj platforms.

Subsequent to the closure of FY 24, the company accelerated the journey to profitability. As of October 2024, ShareChat app is fully profitable at over 15% EBITDA margin. The Moj app has achieved operational profitability (effectively covering all costs except employee salaries) and is expected to be fully profitable by end of FY25. The profitability milestone has been made possible by a dual engine of revenue growth and cost optimization, especially, the cost of server infrastructure where ShareChat has managed to optimize server cost per user by 50% since the beginning of 2024.

On the revenue front, there has been a 25% YoY uptick in Advertising revenue per user and a nearly 10 percentage point margin improvement in livestreaming business.  Aggressive efforts on feed ranking improvement resulted in nearly ten percentage point uplift in long term retention of both ShareChat and Moj users, thereby allowing to cut user acquisition spends to near zero.

Commenting on the financials, Ankush Sachdeva, CEO and Cofounder, ShareChat & Moj said, “Over the past few years we have been successful in cutting our costs significantly and ramping up our revenue. This, coupled with our strategic investment in product development and state of the art recommendation engine, have charted our path to profitability, with the ShareChat app achieving EBITDA profitability. We are confident that we will reach this milestone at a company level in the coming months.”

ShareChat is expecting EBITDA losses for FY25 to be nearly one third of FY24 and the consolidated business to start generating positive cash flow by early FY26.

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About ShareChat (Mohalla Tech Pvt Ltd)

ShareChat (Mohalla Tech Pvt Ltd) is India’s largest homegrown social media company, with 325+ million MAUs across all its platforms. Founded in 2015 by Ankush Sachdeva, Bhanu Pratap Singh and Farid Ahsan, ShareChat has social media brands such as ShareChat App and Moj under its portfolio. Today ShareChat App is India’s leading social media platform and has over 180 million monthly active users spread across the country. In July 2020, ShareChat launched its short video app Moj in a record 30 hrs. Today, Moj is India’s #1 short video app, with the highest monthly active user base of nearly 160 million. Investors in ShareChat include EDBI, Temasek Holdings,  Google, The Times Group, Alkeon Capital, Moore Strategic Ventures (MSV), Harbourvest, India Quotient, Mirae-Naver Asia Growth Fund, Tiger Global, Snap, Twitter, Lightspeed, and Elevation Capital.

Website: https://sharechat.com/about

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