ShareChat revenue rises 33% to Rs 718 Crore in FY24, cuts losses by 67%

ShareChat, a social media company, reported a 33% Y-o-Y growth in revenue, reaching Rs. 718 cr, up from Rs. 540 cr in FY23. ShareChat also made significant strides in reducing losses as adjusted EBITDA losses fell by 67% from Rs 2,400 cr in FY 23 to Rs 793 cr in FY 24.

ShareChat’s advertising revenue registered a growth of 23% Y-o-Y, reaching Rs 315 cr. The company credits its success to diversifying its client base across sectors, focusing on FMCG and mid-market advertisers. The livestreaming segment grew 41% year-on-year to Rs. 402 crore in FY 2024, driven by an increase in paying users on ShareChat and Moj platforms.

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 optimisation, especially, the cost of server infrastructure where ShareChat has managed to optimise server cost per user by 50% since the beginning of 2024. 

Advertising revenue per user grew 25% YoY, with a 10 percentage point margin improvement in the livestreaming business. Improved feed ranking boosted long-term user retention by 10 percentage points for ShareChat and Moj, reducing user acquisition costs to near zero.

Commenting on the financials, Ankush Sachdeva, CEO and co-founder, 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.