ZingHR turns profitable in FY25, revenue grows 21%

Cloud-based HRtech firm ZingHR has continued its growth momentum and achieved profitability in FY25 from a loss of Rs 7 crore in the previous fiscal year.

ZingHR’s revenue from operations grew 21% to Rs 150 crore in FY25 from Rs 124 crore in FY24, according to its consolidated financial statements filed with the Registrar of Companies (RoC).

ZingHR offers staffing and talent acquisition services across various sectors, including BFSI, retail, and IT. The company generates its revenue exclusively from the sale of subscription-based software.

Similar to other recruiting and allied service platforms, Zing HR’s employee benefits remained the largest cost component, accounting for 53% of total expenses. To the tune of scale, this cost remained stable at Rs 80 crore in FY25 as compared to Rs 81 crore in FY24.

Among other major expenses, server and data security charges rose 42% to Rs 17 crore, while legal and professional fees nearly doubled to Rs 17 crore. Product maintenance charges grew 22% to Rs 11 crore, and rent expenses increased by 33% to Rs 4 crore. 

Overall, the company’s total expense rose 13% to Rs 150 crore in FY25 from Rs 133 crore in FY24. For a more detailed expense breakdown, refer to TheKredible.

With the help of revenue growth, the company managed to achieve profitability. ZingHR posted a profit of Rs 1 crore in FY25 in contrast to a loss of Rs 7 crore in FY24. Its ROCE and EBITDA margin improved to 1.21% and 0.80% respectively.

On a unit basis, ZingHR spent Re 1 to earn a rupee of revenue during the year, an improvement from Rs 1.07 in FY24. The company’s total assets grew to Rs 80 crore in FY25, from Rs 71 crore in the preceding year, while its current assets were valued at Rs 58 crore. Cash and bank balances stood at Rs 8 crore as of March 2025.

According to TheKredible, ZingHR has raised $14 million in funding to date, with Tata Capital as its lead investor, holding a 35.82% stake.

Competing in the same space as ZingHR, Darwinbox’s total revenue grew to Rs 534 crore in FY25 from Rs 334 crore in FY24 as 63% of the company’s revenue comes from international markets. The company’s adjusted net loss improved by 7% over FY24 in the same period.