Safegold: Digital Gold Investment Platform Reports 12% Revenue Growth

Safegold, the digital gold investment platform, has recorded a growth in gross revenue of 12% for FY25. This follows impressive growth rates of 82% and 36% reported in FY23 and FY24, respectively, attributed to rising gold prices in the country. Notably, the company achieved positive EBITDA in the last fiscal year.

The gross revenue of Safegold increased to Rs 6,867 crore in FY25, up from Rs 6,116 crore in FY24, as detailed in its consolidated financial statements submitted to the Register of Companies (RoC). Safegold facilitates easy buying, selling, and secure storage of vaulted gold for customers, even in small amounts. Additionally, it offers users the option to transform their digital gold into jewellery through collaborations with Tanishq, a Tata-owned brand, and CaratLane.

Revenue Composition and Growth Factors

The main source of income for the Mumbai-based company was the sale of digital gold across both online and offline channels, contributing Rs 6,839 crore. In addition, Safegold accrued another Rs 27 crore from other operating revenue streams.

Gold was procured from refineries, custodians, and dependable partners, making up 99.2% of total expenditure. This figure increased by 12.5% to Rs 6,809 crore in FY25, compared to Rs 6,052 crore in FY24, reflecting the rise in the company’s overall operations.

Expenditure Breakdown

In FY25, employee benefits expenses saw a year-on-year rise of 12.5%, totalling Rs 12.44 crore. Furthermore, miscellaneous expenses reached Rs 30.83 crore. Other costs, including legal and professional fees, advertising, distribution, and additional overheads, escalated total expenditure to Rs 6,895 crore in FY25.

Financial Performance Analysis

On the financial front, Safegold experienced losses amounting to Rs 12.2 crore, which included one-time exceptional expenses of Rs 14.48 crore. However, operationally, the firm reported a positive EBITDA of Rs 2 crore for the year. The company’s return on capital employed (ROCE) and EBITDA margin stood at 32.77% and 0.03%, respectively. The operating ratio reflected that it spent Rs 1 to earn a rupee in FY25.

At the close of March 2025, Safegold’s current assets totalled Rs 56.74 crore, which included cash and bank balances of Rs 32 crore.

Investors and Market Position

Safegold has the backing of Pravega Ventures, Beenext (a Singapore-based angel investment network), and various individual investors like Rajan Anandan, Roshan Angrish, Prashant Malik, and Niraj Shah. The company has successfully raised over $2 million to date, according to data from startup intelligence sources.

Despite the steady growth in FY25, digital gold investment is increasingly capturing the attention of retail investors. Recent clarifications from SEBI indicate that these products do not fall under its regulatory or commodity-derivative frameworks, thus removing previous confusion but leaving the category largely governed by its own protocols. This scenario could potentially compromise customer interests in the long run if platforms do not ensure proper safeguards. With distribution expanding through fintech applications, it is critical for industry players to enhance disclosures, conduct audits, and strengthen vault management practices as this market segment continues to evolve.