ShareChat’s 62% increase in revenue for FY23, at Rs 540 crore. However, its losses widened 38% to Rs 4,064 crore
9 to 1 ratio of spend to revenue, raised $1.4 billion to date and is eight years old. There is nothing about this asset which is worth a growth investor's underwriting.
India is not even vaguely close to being a market for social media products within the consumer internet space. We do not have the consumer behaviour that other markets do and there is nothing wrong with it. Meta, Snap, Instagram, WA, Telegram, Discord etc are all great examples with a base in India, but negligible revenues barring Meta which is 8-9% of their topline on a TTM basis.
Sharechat is an ideal example of building a product that no one wants to pay for. Co founders exiting, layoffs and write downs are all to be expected.
Well said
Most of their costs would be server costs which probably wouldn’t come down, tech costs can be reduced to only some extent. They need to bring revenue not reduce costs!! And for revenue, they are competing against IG/YT which has junta that can spend. I think while incepting the company, they forgot “tier 2” population won’t bring money.
These guys layoff as if it’s just a metric and not real humans behind them
Such pitiful numbers.
I feel they would be raising for 4-5 months of runway at a time this way. Anybody knows?
This morning, ShareChat laid off twenty percent of it's entire staff. The laid off employees were locked out of their system and received the communication of their lay off in their personal email. This is the biggest layoff by ShareChat...
Any news on who is getting it, what's like an average payout for eligible employees? As per the news article, approx 19000 employees are getting it. Anyone has insider info?
Got around 3CR
