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Astrotalk Surges in Online Astrology Demand, Doubling FY24 Revenue to ₹651 Crore

• ByStartupStory     |    September 20, 2024

Noida-based Astrotalk has reported an impressive doubling of its operating revenue for FY24 to ₹651 crore, expanding its reach both domestically and internationally. This growth is further underscored by a ten-fold increase in net profit, which soared to ₹94 crore for the year ending March 2024, according to financial statements obtained by ET.

Although Astrotalk has yet to file its financials with the Registrar of Companies (RoC), the startup has demonstrated robust growth, nearly sextupling its topline in just two years. The company reported an operating revenue of ₹115 crore for FY22.

Astrotalk operates on a revenue-sharing model with over 10,000 active astrologers on its platform. Revenue is recognized prior to disbursement to astrologers, with professional expenses rising more than double year-on-year to ₹319 crore in FY24.

Co-founder Anmol Jain stated, “With our best-in-class tech and product, we were able to expand aggressively internationally as well as nationally. We were able to scale efficiently with similar fixed costs, hence demonstrating our superior business model.” He added, “The increase in profits has come due to increased operational efficiencies across the entire marketing, product and service delivery chains.”

Founded in 2015 by Jain and CEO Puneet Gupta, Astrotalk achieved its first profit in FY21 at ₹11 crore. The platform currently facilitates approximately 4.5 million paid sessions monthly, predominantly focused on marriage-related consultations, alongside 6 million free sessions.

Astrotalk has raised a total of $30 million from investors including New York-based Left Lane Capital and Elev8 Ventures, and is currently valued at $300 million. Jain revealed plans for the company to pursue inorganic growth in the upcoming year by exploring potential acquisition targets.

In FY24, marketing expenditure rose sharply to ₹157 crore from ₹74 crore in FY23, while employee costs increased to ₹30 crore from ₹23 crore. Looking ahead, Jain expressed aspirations to reach a profit after tax of ₹300-400 crore and to file for an IPO in 2026, stating, “In the next couple of years, we plan to increase our profit after tax to ₹300-400 crore range, and eventually file for an IPO in 2026.”

A significant portion of Astrotalk’s revenue, nearly one-fifth, originates from international markets, with its ecommerce segment contributing 5% to the topline. The startup has diversified its offerings to include e-puja services, positioning itself in a competitive arena alongside players like Vama, Utsav, and DevDham.

Earlier this year, AppsforBharat, the parent company of online devotion platform Sri Mandir, raised $18 million from prominent investors including Infosys chairman Nandan Nilekani’s Fundamentum, along with Susquehanna, Elevation Capital, Peak XV Partners, and Mirae Asset VC.

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