Mohalla Tech Pvt. Ltd., the parent company of popular social media apps ShareChat and Moj, has made remarkable progress in improving its financial performance. In the financial year 2025 (FY25), the company reduced its adjusted EBITDA loss by an impressive 72 percent, bringing it down from ₹793 crore in FY24 to ₹219 crore. This significant reduction signals a strong move toward profitability and reflects the company’s focus on building a sustainable business model rather than chasing rapid top-line growth.
Understanding the Shift in Financial Health
EBITDA, which stands for Earnings Before Interest, Taxes, Depreciation, and Amortization, is a key measure of a company’s financial health. A reduction in EBITDA loss indicates that the company is spending more efficiently and earning better returns from its operations. For a startup like Mohalla Tech, this is a crucial milestone. It demonstrates that the management is prioritizing operational efficiency and long-term sustainability, instead of relying solely on venture capital funding to sustain growth. By cutting down losses without compromising user engagement, the company has created a stronger foundation for future expansion.
Revenue Steady but Growth-Focused
While Mohalla Tech managed to significantly reduce losses, its revenue remained largely steady, with FY25 revenue at ₹723 crore compared to ₹718 crore in FY24. This might seem modest, but the strategy was deliberate. The company focused on improving unit-level profitability rather than expanding revenue at any cost. Co-founder and CFO Manohar Singh Charan emphasized that FY25 was about fine-tuning operations, streamlining costs, and preparing the organization for faster growth in the coming years. The focus on quality over quantity has positioned Mohalla Tech to pursue a projected 30 percent revenue growth in FY26, signaling optimism about its future trajectory. By the end of the first half of FY26, the company had already achieved an annual recurring revenue of ₹1,000 crore, underscoring its readiness to scale further.
Microdramas Drive Engagement
One of Mohalla Tech’s key strategies for growth is its investment in microdramas, short and engaging video content designed to capture the attention of users quickly. In May 2025, the company launched QuickTV, a dedicated microdrama platform that has quickly gained popularity, surpassing 15 million downloads and becoming the second most popular microdrama app in India. While QuickTV uses a subscription-based model, ShareChat and Moj continue to offer microdramas for free, monetizing them through advertisements. Together, these platforms reach 35 million monthly users, who consume more than 200 million episodes daily. The success of QuickTV and microdramas highlights Mohalla Tech’s ability to innovate and create content that resonates with its audience while diversifying its revenue streams.
A Strong Outlook for the Future
Mohalla Tech’s growth story is now centered on three major pillars: cost optimization, user engagement, and revenue diversification. By carefully managing its operations and focusing on new initiatives like QuickTV, the company is well-positioned to expand further in the digital entertainment space. With losses shrinking and new revenue streams gaining traction, Mohalla Tech is poised for accelerated growth in FY26. Its approach demonstrates how startups can balance profitability with innovation, setting a benchmark for the evolving Indian social media and digital content ecosystem. As the company continues to scale, industry observers expect Mohalla Tech’s strategies to shape the future of social media and short-form entertainment in India.