Kuku FM posts ₹153 cr loss in FY25, highlighting the financial strain faced by content-driven startups as they scale aggressively in a competitive digital media market. The loss underscores the high costs associated with user acquisition, content creation, and platform expansion, even as audio platforms continue to gain popularity in India.
The development that Kuku FM posts ₹153 cr loss in FY25 reflects the broader challenge of balancing growth with profitability in the creator economy.
Financial Performance in FY25
According to regulatory filings, Kuku FM reported a net loss of ₹153 crore for the financial year ended March 2025. The loss widened compared to the previous year as the company increased spending on content licensing, marketing, and technology infrastructure.
While revenues grew during the year, expenses rose at a faster pace, putting pressure on the company’s bottom line.
What Drove the Losses
A key reason why Kuku FM posts ₹153 cr loss in FY25 is its aggressive investment strategy. The platform has spent heavily on exclusive audio shows, creator payouts, and regional language content to expand its user base across India.
Marketing and promotional expenses also remained high as Kuku FM competed with other audio, podcast, and OTT platforms for consumer attention.
User Growth and Platform Expansion
Despite the financial loss, Kuku FM continued to see strong traction in terms of app downloads and active users. The platform has positioned itself as a hub for audio stories, podcasts, and spoken-word content in multiple Indian languages.
Management believes that building scale and audience loyalty is critical before focusing on sustained profitability.
Monetisation Challenges in Audio Content
The fact that Kuku FM posts ₹153 cr loss in FY25 also highlights the monetisation challenges in India’s audio content market. Subscription adoption remains gradual, and advertising yields in audio are still lower compared to video platforms.
As a result, many audio startups rely on prolonged funding support while experimenting with pricing and revenue models.
Competitive Landscape Adds Pressure
Kuku FM operates in a crowded digital content ecosystem that includes music streaming apps, podcast platforms, and short-video services expanding into audio. This intense competition has pushed companies to invest more in content differentiation and user engagement.
Rising competition has made customer retention and lifetime value key concerns for audio platforms.
What This Means for Investors
For investors, the FY25 loss signals the long road to profitability typical of content-led platforms. While losses are not unusual at this stage, future funding will likely depend on clearer paths to monetisation and cost control.
The focus will be on whether Kuku FM can gradually reduce burn while maintaining user growth.
Outlook Going Forward
Kuku FM is expected to continue refining its content strategy and exploring new monetisation avenues such as premium subscriptions, brand partnerships, and creator-led commerce. Improved efficiency and stronger revenue per user will be crucial to narrowing losses.
As Kuku FM posts ₹153 cr loss in FY25, the coming years will test the company’s ability to transition from growth-focused expansion to sustainable operations.
Conclusion
The announcement that Kuku FM posts ₹153 cr loss in FY25 highlights the financial realities of scaling an audio content platform in India. While user growth and content reach remain strong, profitability continues to be a challenge amid high operating costs.
How effectively Kuku FM balances growth, monetisation, and spending discipline will determine its long-term position in India’s evolving digital audio market.
