Exotel’s Fiscal Year 2025 Insights

Exotel, a leading cloud communication platform, hit the remarkable revenue mark of Rs 500 crore in FY25, achieving profitability through managed expenses and consistent growth in its operational revenue. The operating revenue of Exotel grew by 10%, reaching Rs 490.5 crore in FY25, up from Rs 444.5 crore in FY24, as per the consolidated financial statements obtained from the Registrar of Companies.

Exotel’s Cloud Communication Services

Exotel specialised in cloud-based voice and SMS contact centre solutions, which enable businesses to effectively handle customer engagement. The primary income source for Exotel is derived from its internet-enabled cloud communication services.

Revenue Breakdown

The majority of the company’s revenue was generated from domestic services, which experienced a growth of 9.5% to Rs 416 crore in FY25. Additionally, revenue from export services increased by 16% to Rs 74 crore. With other income amounting to Rs 16.5 crore, Exotel’s total income ascended to Rs 507 crore in FY25, compared to Rs 460 crore during the previous financial year.

Cost Management and Profitability

On the expense front, telephone and postage costs represented the largest expense, constituting 44% of total costs. This expense rose by 9% to Rs 212 crore in FY25, up from Rs 195 crore in FY24. Employee benefit expenses, being the second biggest cost, saw a decrease of 21% to Rs 147 crore. Furthermore, advertising and legal costs increased to Rs 12.5 crore and Rs 10 crore, respectively, while other expenses contributed the remaining Rs 77.5 crore. Overall, Exotel reduced its total expenses by 4%, down to Rs 481 crore in FY25 from Rs 499 crore in FY24.

This controlled spending, along with stable revenue growth, enabled Exotel to achieve profitability. The company recorded a profit of Rs 20 crore in FY25, contrasting with a loss of Rs 37 crore in FY24. Return on Capital Employed (ROCE) and EBITDA margin also improved to 2.46% and 6.83%, respectively.

Financial Efficiency

In fiscal terms, Exotel expended Rs 0.98 to generate one rupee of income during the year, enhancing from Rs 1.12 the previous year. By March 2025, Exotel’s cash and bank reserves were reported to be Rs 131 crore, while current assets amounted to Rs 290 crore.

Funding and Investments

Exotel has successfully gathered $100 million in funding over various rounds, with significant backing from Blume Ventures, A91 Partners, and Sistema Asia. Per data from startup intelligence platforms, A91 Partners holds the largest external share at 25.7%, followed closely by Blume Ventures.

Leadership Changes

Despite achieving profitability in FY25, Exotel faced significant leadership turnover. Several senior executives, including co-founder and COO Ishwar Sridharan, have left the company since late 2024.