ZingHR Reports Growth and Profitability in FY25

Cloud-based HRtech company ZingHR has maintained its growth trend and has turned profitable in FY25, recovering from a loss of Rs 7 crore in the prior fiscal year. ZingHR’s operational revenue rose by 21% to reach Rs 150 crore in FY25, up from Rs 124 crore in FY24, as indicated by its consolidated financial reports submitted to the Registrar of Companies (RoC).

ZingHR provides staffing and talent acquisition solutions across a variety of industries, including BFSI, retail, and IT. The firm earns its revenue primarily through subscription-based software sales. Similar to other recruitment and allied service platforms, ZingHR’s employee benefits represented the largest portion of expenses, comprising 53% of total costs. This expense remained steady at Rs 80 crore in FY25, compared to Rs 81 crore in FY24.

Expense Breakdown in FY25

Among other significant expenses, server and data security fees surged by 42% to Rs 17 crore, while legal and professional costs nearly doubled, also reaching Rs 17 crore. Charges for product maintenance rose by 22% to Rs 11 crore, and rental costs climbed by 33% to Rs 4 crore. Overall, total expenses for the company increased by 13%, reaching Rs 150 crore in FY25, up from Rs 133 crore in FY24. Detailed expense information can be found from various sources.

Achieving Profitability

With robust revenue growth, the company successfully achieved profitability. ZingHR announced a profit of Rs 1 crore in FY25, compared to a loss of Rs 7 crore in FY24. The return on capital employed (ROCE) and EBITDA margin improved to 1.21% and 0.80%, respectively. On a unit basis, ZingHR invested Re 1 to generate a rupee of revenue this year, a better performance than the Rs 1.07 spent in FY24.

Asset Growth

The total assets of ZingHR increased to Rs 80 crore in FY25 from Rs 71 crore in the previous year, with current assets valued at Rs 58 crore. Cash and bank balances amounted to Rs 8 crore as of March 2025.

According to various sources, ZingHR has secured $14 million in funding to date, with Tata Capital leading the investment with a 35.82% share. In the competitive landscape, Darwinbox, another player in the sector, reported total revenue of Rs 534 crore in FY25, up from Rs 334 crore in FY24, with 63% of its revenue coming from international markets. The company’s net loss improved by 7% over FY24 during the same timeframe.