Kuku FM, a podcasting platform based in Mumbai, recorded over Rs 4 crore in operating revenue during the fiscal year ending March 2022. The revenue was earned through subscriptions and “service fees” as well as interest and gain on financial assets. Kuku FM has 1 million active paying subscribers as of June 2022, indicating a positive trend in the highly competitive streaming space. However, the company spent Rs 57.03 crore in FY22, with advertising and promotional costs accounting for 55.9% of the total expenses. The company’s overall expenditure led to losses of Rs 52.22 crore in FY22. Despite the losses, Kuku FM has secured around $47 million from Fundamentum, Paramark, Krafton, and others, and was valued at $120 million following its Series B round in August 2022. Kuku FM’s total expenses increased significantly from FY21 to FY22, jumping 3.3X to Rs 57.03 crore. Similarly, the company’s losses also increased by 3.4X to Rs 52.22 crore in FY22 compared to the preceding fiscal year. Advertising and promotional costs accounted for the majority of the company’s expenses, making up 55.9% of the total expenses. This cost ballooned from Rs 3.33 crore in FY21 to Rs 31.9 crore in FY22, an increase of 9.6X.
In addition to advertising and promotional costs, Kuku FM also incurred content creation and writing expenses of Rs 1.74 crore, contributing to its overall expenditure of Rs 57.03 crore in FY22. On a unit level, the company spent Rs 12.93 to earn a single rupee during the fiscal year. Despite the losses, Kuku FM has secured around $47 million from investors such as Fundamentum, Paramark, and Krafton, among others. In August 2022, the company was valued at around $120 million following its Series B round of funding.