CRED Financial Performance in FY25

Fintech unicorn CRED reported an impressive operating revenue of Rs 2,735 crore for FY25, marking a 16% increase compared to the previous year. At the same time, operating losses decreased significantly by 51%, amounting to Rs 298 crore in FY25, as stated in the company’s press release. During the year, CRED achieved gross margins of approximately 70%. However, despite operational progress, CRED continued to operate at a net loss, with total losses narrowing 11.5% year-on-year to Rs 1,457 crore, which includes non-operating costs such as ESOPs and depreciation.

Growth in User Engagement

CRED’s monthly transacting users (MTUs) surged by 14.5% to 1.26 crore, while transaction frequency increased by 34%, resulting in an average of 14.4 transactions per user each month. The overall payment value processed on the platform rose by 23% year-on-year to Rs 8.5 lakh crore.

Improved Monetisation and Product Adoption

Monetisation efforts saw a positive impact throughout the year, with users increasingly embracing multiple products available on the platform. About 45% of active members utilised three or more products, leading to an average revenue per user (ARPU) of around Rs 2,000, as mentioned in the press release.

Lending as a Main Revenue Stream

Lending played a crucial role as a revenue driver in FY25, with managed assets under management (AUM) reaching Rs 22,000 crore. Throughout the year, CRED diversified its offerings in payments, lending, and personal finance, introducing new products including CRED Money, credit score and card management tools, a PPI wallet, and CRED Cash+. Additionally, the insurance marketplace CRED Garage expanded its range of insurers, contributing to higher insurance revenue.

Funding and Future Outlook

CRED has successfully raised over $1 billion through nine funding rounds. This includes a $72 million down round led by GIC in May 2025, which lowered the valuation to $3.64 billion from $6.4 billion in 2022. The company aims to achieve full profitability by FY26.