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Peak XV-funded Kutumb turns profitable, enters Indicorn club

Entrackr · 4d ago

Medial

Kutumb, the parent company of social media app Crafto, delivered strong financial performance in the fiscal year ended March 2025, as its operating scale jumped 2.7X, primarily due to higher subscription revenue from Crafto. The Tiger Global-backed company also turned profitable in FY25. Kutumb’s revenue from operations spiked 173% year-on-year to Rs 128.6 crore in FY25 from Rs 47.2 crore in FY24, according to its financial statements filed with the Registrar of Companies (RoC). Founded in 2020, Kutumb is a multilingual community social platform. It operates apps across social, astrology, lifestyle, and utility categories, including Crafto, Zuno, Tarot99, Astro99, Digi God, Piku, and Digital Baby. The company generates revenue through subscriptions to its social media enabler apps, along with advertising services offered on its platforms. According to filings, the firm’s 173% revenue growth was largely attributed to a sharp increase in subscription income from its app, Crafto. For the uninitiated, Crafto lets users create and share personalised quotes and wishes in regional languages across social apps including WhatsApp. Kutumb also earned Rs 18 crore from non-operating sources such as interest income, and this pushed its total income to Rs 146.7 crore in FY25. For the company, advertising and promotional expenses were the largest cost centers. They accounted for over 62% of total costs and stood at Rs 84.6 crore, with a 2.8X year-on-year increase from FY24. Employee benefit expenses also rose 2.4X to Rs 27.7 crore in the last fiscal year. Notably, this included Rs 11.63 crore toward ESOP and ESPP expenses, which are non-cash in nature. Kutumb’s expenditure on technology infrastructure also increased by 15% to Rs 18 crore. Overall expenditure for the Bengaluru-based firm doubled to Rs 135.8 crore in FY25 from Rs 63 crore in FY24. Revenue growth outpaced expenses and helped Kutumb attain Indicorn status. The firm posted a net profit of Rs 12 crore, compared to a loss of Rs 3 crore in FY24. For background, Indicorn is a term coined by Titan Capital for profitable Indian startups with over Rs 100 crore in annual revenue. Its ROCE and EBITDA margin also improved to -3.77% and -5.54%, respectively. On a unit level, Kutumb spent Rs 1.06 to earn one rupee of operating revenue in FY25. As of March 2025, the Tiger Global-backed company’s current assets stood at Rs 150.5 crore, which included Rs 10.5 crore in cash and bank balances. Kutumb has raised around $28.5 million in funding to date from investors such as Quiet Capital, Peak XV Partners, and Rocketship.vc, among others. The company secured a valuation of approximately $170 million after raising $26 million in its Series A round in June 2021. Recently, it expanded into online dating with the launch of Polo, a dedicated gay dating app.