Chingari, the Bengaluru-based social media startup, saw operating revenue fall sharply in the financial year ending March 2025 as it shifted from a short-video marketplace to a paid private live-streaming model. The strategic pivot led to a 52–53% year-on-year revenue decline, even as tight cost controls narrowed losses and signalled an attempt to stabilise the business during the transition.
Revenue falls as business model shifts
According to filings with the Registrar of Companies (RoC), Chingari’s operating revenue dropped to ₹44 crore in FY25 from ₹92 crore in FY24. This follows an earlier peak of ₹113 crore in FY23, underscoring the scale of contraction amid a deliberate change in monetisation strategy.
Export markets accounted for nearly 72% of FY25 operating revenue (about ₹31.3 crore), while domestic revenue made up the remaining 28% (approximately ₹12.2 crore), highlighting the platform’s significant reliance on international users during the transition.
From short videos to paid private live streaming
Launched in November 2018, Chingari grew rapidly as an Indian alternative to short-video apps after the 2020 TikTok ban. However, in June 2023 the company reoriented its product and commercial strategy away from user-generated short videos toward a paid private live-streaming format.
Under the new model, users purchase virtual currency called “diamonds” to engage in one-to-one private video calls or exclusive creator interactions. The pivot aims to create higher-value, directly monetisable interactions between creators and paying users, but it also meant a transition period that weighed on FY25 revenues.
The company has emphasised content moderation policies, stating that explicit content and nudity are prohibited on the platform.
Cost cuts narrow losses
Despite the revenue decline, Chingari reduced its net loss to ₹8.8 crore in FY25, a 62% improvement from a ₹23.3 crore loss in FY24. Total expenditure fell by roughly 55% year-on-year to ₹52.4 crore, reflecting aggressive cost optimisation across operations.
- Marketing and advertising remained the largest expense but were sharply curtailed, with spending down to ₹23.75 crore from ₹43.65 crore the prior year.
- Employee benefit costs declined around 58% to ₹13.4 crore, indicating workforce rationalisation and restructuring.
- Technology spend edged up to about ₹9 crore, suggesting continued investment in platform infrastructure despite overall cost discipline.
Financial position and outlook
Chingari’s operating efficiency in FY25 meant it spent about ₹1.20 to generate every ₹1 of operating revenue. The company reported current assets of roughly ₹8 crore as of March 2025, including ₹2.2 crore in cash and bank balances, pointing to a modest liquidity buffer as it scales the new model.
The medium-term prospects hinge on creator engagement, users’ willingness to pay for private interactions, and deeper market penetration internationally. If Chingari can expand its paying user base and strengthen creator monetisation, it may recover revenue momentum; otherwise, sustained growth will depend on further product refinements and monetisation experiments.
