Acko posts Rs 2,837 Cr revenue in FY25, trims losses by 37%

Following a 20% year-on-year rise in FY24, insurtech platform Acko sustained its momentum with 35% revenue growth in FY25. At the same time, the company also cut its losses by 37%, during the same period.

Acko’s revenue from operations surged to Rs 2,837 crore in FY25, compared to Rs 2,106 crore in FY24, according to its consolidated annual figures accessed from the Registrar of Companies (RoC).

For the digital insurance provider, income from gross premium earned made up 73.5% of its total income, rising 31% to Rs 2,085 crore during the last fiscal year.

Service contracts, recoveries from reinsurers, commissions, interest income from investments, and other miscellaneous income pushed total revenue to Rs 2,887 crore in FY25, up from Rs 2,160 crore in FY24.

In terms of cost breakdown, employee benefit expenses declined slightly by 6% to Rs 334 crore in FY25 from Rs 355 crore in FY24, accounting for 10% of the company’s total costs. The firm also cut its advertising spend by 12% to Rs 497 crore, while commissions paid to sole selling agents rose 35% to Rs 283 crore during the previous fiscal.

A large portion of the company’s expenses was grouped under miscellaneous costs, primarily comprising claims paid, premium on reinsurance ceded, and other office and administrative expenses. This category amounted to Rs 2,006 crore in FY25. Overall the total expenses for the Accel-backed company rose 17% to Rs 3,312 crore in FY25, compared to Rs 2,830 crore in FY24.

Stronger top-line and tighter cost control helped Acko to reduce its losses by 37% to Rs 424 crore in FY25. Its ROCE and EBITDA margin improved to -30.5% and -16%, respectively. On a unit basis, Acko spent Rs 1.17 to earn a rupee in FY25. The company’s current assets stood at Rs 1,798 crore, including Rs 28 crore in cash and bank balance at the end of FY25.

According to TheKredible, Acko has raised over $458 million to date. General Atlantic is the largest external shareholder with a 10.7% stake, followed by Accel Partners and Elevation Capital.

Acko’s competitor Digit Insurance reported 2,088 crore operating revenue in Q2 FY26, while its profit after tax increased by 30% to Rs 116.5 crore during the same period.