Mohalla Tech, the parent company of the short video app Moj and the social media platform ShareChat, reported a 4.3x increase in its revenue from operations to Rs 347 crore during the last fiscal year against Rs 80.4 crore in FY21, according to regulatory filings.
The company, which raised $255 million in September 2022, reported annual losses of Rs 2,988 crore in FY22 compared to Rs 1,324 crore in FY21. Its cash outflows from operations soared 2.5X to Rs 2,676 crore during the last fiscal year.
Talking about the revenue from advertisement services, the company witnessed a rise of 2.8x to Rs 212.2 crore in FY22 from Rs 77 crore in FY21. At the same time, its “ShareChat Coin” via in-app purchases for its chatrooms had a 35X increase to Rs 120.5 crore in the last fiscal year from only Rs 3.44 crore in FY21.
Jeet11, a skill-based game for real money, reported revenue from the gaming platform stood at Rs 14.24 crore in FY22. The company shut down Jeet11 in December last year and laid off 5% of its workforce.
Business development expenditure, its largest cost element, grew 72.5% to Rs 1,143 crore in FY22 from Rs 662.6 crore in FY21.
Employee benefits expenses soared 2.8X to Rs 505 crore during the fiscal year. This cost also included Rs 73.83 crore of share-based employee payments (a non-cash expense).
The expense on content development and legal fees was up 8.6 times and 6.1 times, respectively, to Rs 422 crore and Rs 70 crore in FY22.
ShareChat also incurred platform service fees, communication, distributor support, analytics, and other related costs of Rs 78.67 crore. In the end, its total cost surged 2.4X to Rs 3,407 crore in FY22 against Rs 1,420 crore in FY21.
Its outstanding losses climbed over 80% to Rs 2,583 crore at the end of FY22.
Entrackr first reported the story.
Source @Indianstartupnews
