Audio entertainment platform Pocket FM is on the cusp of achieving unicorn status with a fresh infusion of funds from Abu Dhabi Investment Authority (ADIA), following its recent Series D funding round that raised $103 million. The new funding round is expected to value Pocket FM at around $1.2 billion, catapulting it into the unicorn league.
Pursuing Growth and Expansion
Pocket FM's strategic move comes as it seeks to fortify its presence in the US and expand into the European and Latin American markets. The funding will also support the platform's efforts to enhance its content library and develop a robust IP playbook for writers.
Impressive Growth and Revenue Figures
Founded in 2018 by Rohan Nayak, Nishanth KS, and Prateek Dixit, Pocket FM has seen remarkable growth, boasting over 1 lakh hours of content, including 2,000 exclusive audio series and 4 lakh episodes across various genres and languages. The platform has achieved an annual recurring revenue (ARR) of over $150 million, with a 57% quarter-on-quarter growth rate. In the US alone, Pocket FM's revenue has exceeded $100 million ARR.
Attracting Investor Interest
Pocket FM's sustainable growth, strong unit economics, and impressive gross margins have attracted significant interest from investors worldwide. The platform is currently in discussions with several investors to fuel its expansion plans.
Redefining Entertainment with Blockbuster Content
Pocket FM's success can be attributed to its diverse portfolio of successful content, including popular series like "Insta Millionaire," "Saving Nora," and "The Return," each grossing over INR 100 crore. Nearly 15 of its audio series have surpassed the $1 million revenue mark, underscoring the platform's ability to redefine entertainment.
Financial Performance and Outlook
In FY23, Pocket FM's India arm reported a narrowed loss of INR 75.7 crore, marking a 56% year-on-year decrease. Operating revenue surged by an impressive 663% year-on-year to INR 129.7 crore, highlighting the platform's strong performance and growth trajectory.
Pocket FM's pursuit of unicorn status reflects its ambition to become a global leader in the audio entertainment space, driven by its innovative content offerings and robust growth strategy.
