VerSe Innovation Reports 51% Decrease in EBITDA Burn

VerSe Innovation, the parent company behind the vernacular news aggregator Dailyhunt and the social media application Josh, has announced a notable 51% decline in EBITDA burn during the past fiscal year. This change signals a significant shift towards operational efficiency and sustainable growth.

According to a press release from VerSe, the company’s EBITDA burn fell from Rs 1,448 crore in FY23 to Rs 710 crore in FY24, with these figures excluding any non-cash expenses.

For FY24, VerSe reported total revenue of Rs 1,261 crore, a decrease from Rs 1,809 crore in FY23. The company successfully reduced its service costs by 17%, bringing them down to Rs 1,155 crore, and dramatically cut business promotion expenses by 65%, dropping from Rs 969 crore in FY23 to Rs 339 crore in the fiscal year ending March 2024, according to the release.

Strong Projections for Future Growth

Building on the momentum of these financial metrics, VerSe is forecasting a revenue increase of over 75% in FY25, significantly outpacing the anticipated 10–15% growth rate projected for the Indian digital advertising market. This ambitious growth plan is bolstered by the company’s investments in AI-led tools and platforms.

Investment in AI-Driven Tools

VerSe’s growth initiatives include launching the AdTech platform NexVerse.ai, the subscription service Dailyhunt Premium in partnership with Magzter, audio content formats through Josh, and VerSe Collab, which focuses on managing influencer campaigns.

Path to Break-Even and Future Acquisitions

The company is also aiming for break-even in the latter half of calendar year 2025. Growth is expected to come through a combination of product innovation, AI automation, and enhanced monetization strategies. Recent acquisitions, including Magzter and ValueLeaf, are likely to strengthen VerSe’s presence in subscription content and enterprise engagement, facilitating expansion in both B2B and consumer sectors.

Following a funding round in April 2022 that raised $805 million, VerSe obtained a valuation of $5 billion. The company asserts it boasts over 350 million monthly users.

In the competitive landscape, Dailyhunt faces rivals such as Inshorts in news aggregation and hyper-local video sectors, while its short video platform Josh competes against ShareChat’s Moj, YouTube Shorts, and Instagram.