FamApp Shows Remarkable Profitability and Growth in FY25

FamApp, previously known as FamPay, has achieved a noteworthy transformation, becoming profitable and generating revenue between Rs 90–100 crore in the last fiscal year (FY25). The six-year-old startup is also in advanced discussions to secure both secondary and primary capital from its existing investors, according to three sources familiar with the situation.

Funding Developments at FamApp

One source, who wished to remain anonymous, indicated, “Elevation Capital is spearheading a $15 million round, which largely consists of secondary capital, for FamApp.” This secondary funding is expected to enable co-founder Kush Taneja to exit and may also benefit some seed-stage investors.

Co-Founder Dynamics and Changes

Ongoing disagreements between co-founders Taneja and Sambhav Jain over recent months have reportedly influenced Taneja’s decision to exit. The reasons for his departure have not been independently verified by Startup Superb, and it remains unclear if he will exit the company entirely.

Previous Investment Milestones

FamApp previously raised $38 million in its Series A funding round four years ago, accumulating a total of $42.7 million from notable investors such as Elevation Capital, Y Combinator, Peak XV, and angels including Kunal Shah and Amrish Rau.

Investor Confidence in FamApp

In the upcoming funding round, Elevation and other investors will mainly be acquiring Taneja’s stake. The renewed investor confidence arises as FamApp has built stable revenue channels, closing FY25 with Rs 90–100 crore in revenue. According to a second anonymous source, “The company recorded a profit before tax of Rs 10–12 crore.”

Revenue Growth and Business Strategy

Although FamApp’s (formerly FamPay) FY25 results will be officially validated upon the release of consolidated financials, preliminary figures shared by sources suggest a significant recovery. In FY24, the company reported a revenue of Rs 25 crore while reducing its losses by nearly 90%.

Revenue Channels

FamApp derives its revenue from several sources, including premium upgrades like FamX Ultra (Rs 699), ATM withdrawals (Rs 29), video KYC (Rs 99), autosave feature (Rs 29), and nominal fees for loading the teen wallet. The platform also offers premium skins for users to apply as stickers within the app and sells codes for gaming (including PUBG) and shopping, catering to the interests of its teenage user base. In the first quarter of FY25, FamApp (by Trio) introduced Namaspay, a UPI app designed for foreign travellers in India, charging a one-time fee of Rs 1,650, 4% on loading, and 1% on withdrawals.

Performance Insights

These revenue sources have reportedly thrived for FamApp throughout the fiscal year ending March 2025. However, messages sent to FamApp, Elevation, Sambhav Jain, and Kush Taneja did not receive a response.

The consistent turnaround will be a positive sign for investors who had significant expectations. Profitability enhances the company’s ability to adapt to the rapidly evolving fintech landscape, particularly in the payments sector. Taneja’s departure seems to have been managed proficiently, providing a cash exit for his contributions. Six years after launching with Jain, it is understandable that he may want to reassess his ambitions in line with the direction the firm has taken. Many would view him as fortunate to be exiting under what appears to be amicable circumstances.