Top 10 loss making companies in India 2025

As of mid-2025, several Indian companies, particularly in the telecom, startup, and industrial sectors, have continued to report significant losses. The most notable loss-making firms include established telecommunications player Vodafone Idea and a cohort of high-growth tech startups like Byju's and Swiggy. 



Based on multiple financial news reports covering the fiscal year (FY) 2024–2025, here are some of the top loss-making companies in India. 

Top loss-making companies (FY2025)



  • Vodafone Idea: One of India's largest telecom providers, Vodafone Idea (Vi), reported the single largest loss, with a net loss of ₹27,383 crore in FY25. The company continues to struggle with intense market competition, high debt, and large regulatory dues.
  • Byju's: The once high-flying ed-tech unicorn is in steep decline, with industry estimates placing its FY25 losses at well over ₹8,000 crore. The losses are linked to over-expansion, poor integration of acquisitions, and the post-pandemic shift away from online learning. 
  • Swiggy: The food and grocery delivery platform reported a consolidated loss of ₹3,117 crore in FY25. A major contributor to its losses is the high operating cost of its quick-commerce vertical, Instamart.


  • Ola Electric Mobility: As it pivots into electric vehicles, Ola is facing mounting losses, with a reported loss of ₹2,276 crore in FY25. Its challenges include production bottlenecks and rising competition.



  • PharmEasy: The health-tech company has seen its losses swell, reporting a net loss of ₹2,731 crore in the previous fiscal year due to high customer acquisition costs and logistics challenges.

  • PhonePe: Despite dominating India's digital payments, PhonePe reported a loss of ₹2,014 crore in FY23, a trend that is likely to continue in FY25. The company's zero-fee UPI model and high infrastructure costs have hampered profitability. 

Eruditus: The executive education platform, which offers premium online courses, posted a significant loss of ₹2,645 crore in FY23. High marketing and faculty costs have prevented it from achieving profitability. 
  •  DailyHunt: The content and short-video platform saw a ₹2,563 crore loss in FY23. While it has a massive user base, the company struggles with monetization, especially in smaller towns, and faces high content production costs. 


  • NMDC Steel: This subsidiary of the National Mineral Development Corporation reported a loss of ₹816 crore in FY25 due to industry pressures and operational inefficiencies.







  • Alok Industries: The textile manufacturing subsidiary of Reliance Industries continues to report losses due to ongoing operational challenges. 





Factors contributing to losses

Several trends are driving the losses among these companies:
  • Competitive pressure: In sectors like telecom, fintech, and e-commerce, intense competition forces companies to spend heavily on customer acquisition and offer discounts, eroding profit margins.
  • High-burn startups: India's startup ecosystem is maturing, and investors are shifting their focus from "growth at all costs" to profitability. Companies like Byju's and Swiggy, which expanded rapidly using venture capital, are now feeling the pressure to show a path to sustainable earnings.
  • Transition to new business models: Companies like Ola, which are transitioning to electric vehicles, incur high initial costs for research and development, setting up production, and building a new supply chain. This investment phase results in higher losses in the short term.
  • Structural issues: Older companies and some public sector units (PSUs) suffer from accumulated debt, operational inefficiencies, and changing market dynamics. Vodafone Idea's high debt load is a prime example. 

Comments

Post a Comment

Popular posts from this blog

Price Benchmarking in Analysis

Image
Price benchmarking involves comparing your product or service pricing to competitors to understand market dynamics and ensure competitiveness. This process helps businesses understand pricing patterns, identify potential price adjustments, and make informed decisions to optimize profitability and gain a competitive edge.  Here's a more detailed look at price benchmarking: Purpose: To analyze and understand competitor pricing strategies and determine if your prices are competitive and fair.    Process: ·         Gather data:  Collect pricing information from competitors, including their products, services, and pricing models.  ·         Analyze:  Compare your pricing to competitor pricing, focusing on price levels, discount structures, and overall pricing models.  ·         Evaluate:  Assess the impact of your pricing strategy on profitab...
Read more

Benefits of market research services

Image
  Market research services offer numerous benefits for businesses, including enhanced customer understanding, reduced risk, improved decision-making, and a competitive edge. By gathering insights into customer needs, preferences, and behaviors, businesses can refine their products, marketing strategies, and overall business planning.  Here's a more detailed look at the advantages: 1. Enhanced Customer Understanding: ·         Improved Customer Focus: Market research helps businesses understand their target audience's needs, preferences, and buying habits, allowing them to tailor products and services to meet those needs.  ·         Targeted Marketing: By identifying the most promising customer segments, businesses can create more effective and efficient marketing campaigns, ensuring their message reaches the right people with the right message.  ·     ...
Read more

Why Rushi market research is important for a business

Image
Market research is important for a business because it helps businesses understand  their customers, competitors, and the market, and can help them make informed  decisions : Understand customers Market research can help businesses understand their customers' needs, preferences, and behaviors. This can help businesses develop personalized communication strategies and improve customer relations.   Understand competitors Market research can help businesses understand what their competitors are doing and how they can differentiate themselves. Businesses can analyze their competitors' products, promotional mediums, and other aspects of their business.   Understand the market Market research can help businesses understand market trends, economic indicators, and the competitive landscape. This can help businesses anticipate changes in demand and adjust their strategies accordingly.   Make informed decisions Market research can help businesses make infor...
Read more