Results · Enterprise Software & IT

Zoho reports revenue growth but profit flat in FY25

By Startup Enthusiast · 8 April 2026

What they do

Zoho is a bootstrapped software company selling licenses without public markets or ads

FY25 revenue rose 17.8% to Rs 12,313 Cr while profit remained flat at Rs 3,191 Cr

Rising employee and advertising costs drove total expenditure up 30.5%, pressuring margins

Zoho Corporation reported Rs 12,313 Cr revenue for FY25 with 17.8% year-on-year growth.
Net profit stood at Rs 3,191 Cr, remaining flat compared to the previous fiscal year.
Total income including other earnings was approximately Rs 13,544 Cr according to available data.
The company operates as a bootstrapped entity with no external funding or public market listing.
Revenue came primarily from the Zoho suite (57%) and ManageEngine (39%) product lines.
Geographic revenue split showed North America contributing 41% of total sales globally.
New leadership changes included Sridhar Vembu transitioning to Chief Scientist in January 2025.
Shailesh Kumar Davey was appointed as the new Group CEO to lead operations forward.

Profit stagnation despite revenue growth highlights increasing operational cost pressures across the business.
The company maintains a strict privacy stance by refusing to sell user data or run ads.
Domestic focus on Indian government ministries supports a Swadeshi pitch amid global uncertainties.

Zoho sells software license fees exclusively through its extensive suite of over 60 products.
Core offerings include CRM tools, email services, accounting software, and workplace collaboration platforms.
ManageEngine provides IT management, network monitoring, and cybersecurity solutions for enterprise clients.
The company owns its entire technology stack and runs global data centers independently.
Recent expansions include new data centers in the UAE to support Middle East and Africa.
New product launches include Zia Agent Studio and Zoho Pay integrated with Arattai chat.
The business serves over 150 million users across more than 150 countries worldwide.
Employee benefits cost accounted for 47% of total expenses rising significantly in the period.
Advertising and promotional expenses increased by over 31% to drive customer acquisition efforts.

Expanding infrastructure with new data centers in the UAE for regional support.
Continuing domestic focus on winning contracts with Indian government ministries.
Integrating new payment and AI agent tools into the existing product ecosystem.