Noise’s revenue surpasses Rs 1,400 Cr in FY23, rising costs impact profits

Gadget and wearables brand Noise demonstrated outstanding growth, achieving an 80% year-on-year revenue increase in the fiscal year ending March 2023. However, the profits for the bootstrapped firm shrank significantly during the same period.

While we will analyze how the company’s profit impacted in the second half of the story, let’s look at its revenue streams and their contributions. Noise’s revenue from operations grew by 79.8% to Rs 1,426 crore in FY23 from Rs 793 crore in FY22, according to its annual financial statements filed with the Registrar of Companies.

Financial FY23


Operating Revenue

Total Expense

Profit / Loss

Amount in ₹ Cr

The company sells around 35 SKUs including smartwatches, wireless earphones, and wireless speakers through e-commerce platforms and its own website. The sale of these products is the sole source of revenue for Noise.

Wearables formed 82% of the total collections which grew 92% to Rs 1,169 crore in FY23. The rest of the revenue came from audio and other operating activities. Check TheKredible for the detailed revenue breakup.

Rising brand and people investments impact profits

On the lines of other consumer electronic firms, procurement of products accounted for 71% of the overall expenditure. This cost increased 70.8% to Rs 1,013 crore in FY23 from Rs 593 crore in FY22.

Its employee benefit, advertisement & marketing, warranty, freight, and forwarding costs took the total cost up by 90.2% to Rs 1,432 crore in FY23 from Rs 753 crore in FY22. Head to The Kredible to see the cost breakdown. It’s worth noting that Noise invested heavily in the workforce and brand building which resulted in the rise in expenses.

Expense Breakdown

Total ₹ 801 Cr
To access complete data, visit
View Full Data
Total ₹ 1432 Cr
To access complete data, visit
View Full Data
  • Cost of procurement
  • Employee benefit expense
  • Advertising and marketing
  • Warranty expenses
  • Freight
  • Others

The surge in overall cost outpaced the revenue growth for Noise. As a result, the profits of the company declined 97.25% to Rs 1 crore in FY23 from Rs 35.5 crore in FY22. Its ROCE and EBITDA margin stood at 21.8% and 9% respectively. On a unit level, it spent Rs 1.00 to earn a unit of operating revenue in FY23.


FY22 FY23
EBITDA Margin 87% 9%
Expense/₹ of Op Revenue ₹0.95 ₹1
ROCE 63% 21.8%

According to International Data Corporation (IDC), Noise was the second top wearables brand with a 13.5% market share and regained its first position in smartwatch space with a 27.6% share in the first half of 2023. Its direct competitor boAt continued to lead the wearable space in India with 26.6% share during the period. Revenue wise, boAt claims to generate revenue of Rs 4,000 crore in FY23 as compared to Rs 2873 crore in the previous year.

As per a Bloomberg report, the bootstrapped company is also looking to raise its first ever external funding to the tune of $40-$50 million.  While that might yet materialise, the fact remains that margins in the segment remain very thin, and it will take a significant design differentiation or brand building to scale those up. The real addressable market here is also smaller, and subject to competition from much more lower priced players, which is why the success of boAt and Noise is creditable.

Send Suggestions or Tips