Spice brand Zoff crosses Rs 100 Cr revenue in FY25; slips into losses

Shark Tank featured spice brand Zoff crossed the Rs 100 crore mark in the last fiscal year ending March 31, 2025. However the Aman Gupta-backed company slipped into losses in the same period due to higher expenses and write offs.

Zoff’s revenue from operations grew by 11% to Rs 103 crore in FY25 from Rs 93 crore in FY24, according to its financial statements sourced from the Registrar of Companies (RoC). 

Co-founded in 2018 by Akash and Ashish Agrawal, Zoff specializes in high-quality spices. The brand offers a curated selection of spices, dry fruits, and whole food products.

The company’s cost structure expanded at a much faster pace than revenue. Its total expenses increased 32% to Rs 120 crore in FY25 from Rs 91 crore in FY24.

Cost of materials remained the largest expense for Zoff, accounting for 61% of the total cost. To the tune of scale, this cost rose 22% to Rs 73 crore in FY25 from Rs 60 crore in FY24. Advertising expenses jumped threefold to Rs 12 crore in FY25 from Rs 4 crore in FY24. Employee benefit expenses increased 25% to Rs 5 crore. The company also reported Rs 4 crore as bad debt write-offs during the year. 

The company lost its profitability and posted a loss of Rs 17 crore in FY25, as compared to a loss of Rs 20 lakh in FY24. Its ROCE and EBITDA margin stood at -54.17% and -17.96% respectively.

On a unit basis, Zoff spent Rs 1.17 to earn a rupee of operating revenue during the year, compared to Rs 0.98 in the previous fiscal. Zoff’s current assets increased to Rs 50 crore from Rs 43.5 crore. The company’s cash and bank balances stood at Rs 0.2 crore at the end of FY25.

According to TheKredible, Zoff has raised around $5 million of funding till date, having JM Financial India as its lead investor. The company’s co-founders Akash and Ashish Agarwal together own 52.5% of the company. The company is reportedly planning to raise a new round as it eyes offline expansion. 

The rise of losses even as it barely registered double digit growth indicates growth challenges at the firm. The rise of raw material costs as well as advertising in particular  are a surprise, considering the publicity bump it received from Shark Tank. Spices remains an intensely competitive category, and spreading itself too thin may not be the best idea for Zoff, and will simply lead to more commoditisation of its offerings.