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Thursday, June 11, 2026 1:16 PM

Indian tech companies

Spotify India Posts Profit in FY25 as Subscriptions Drive Turnaround

Spotify’s India business returned to profitability in FY25, reporting a net profit of ₹75 crore, a sharp reversal from a net loss of ₹143 crore in the previous fiscal year. The turnaround was driven by strong revenue growth, led by a surge in paid subscriptions, along with a significant cut in advertising and marketing expenses, according to regulatory filings. Spotify India LLP recorded a 48% year-on-year increase in revenue from operations to ₹514 crore in FY25, up from ₹348 crore in FY24. Including other income, total revenue climbed 50% to ₹527 crore from ₹351 crore in the previous year. Subscription revenue emerged as the key growth engine, jumping 89% to ₹317 crore, as the music streaming industry increasingly nudged users towards paid plans by limiting free-tier consumption. In India, Spotify currently offers three subscription options: Lite at ₹139 per month, Standard priced at ₹99 per month for the first three months and ₹199 per month thereafter, and Platinum at ₹299 per month. Advertising revenue also showed healthy growth, rising 38.5% to ₹187 crore during the year. Spotify is estimated to have a user base of around 70–80 million in India. The company did not respond to queries seeking comment on the results. The Indian entity operates as a limited liability partnership, with Spotify AB holding a 99.99% stake and Spotify Ltd owning the remaining 0.01%. Improved profitability was further aided by strict cost management. Total expenditure fell to ₹451 crore in FY25 from ₹494 crore a year earlier. Advertising and marketing expenses declined sharply to ₹243 crore from ₹387 crore, delivering substantial savings. However, personnel costs rose to ₹100 crore from ₹85 crore due to higher hiring and compensation, while other expenses increased to ₹100 crore from ₹13 crore, partially offsetting the reduction in marketing spends. On the balance sheet front, total assets increased to ₹896 crore as of March 31, 2025, compared with ₹851 crore a year earlier. Cash and cash equivalents also rose to ₹634 crore from ₹599 crore, reflecting a stronger liquidity position. Despite the return to profitability, Spotify India continued to carry accumulated losses. Reserves and surplus remained negative at ₹1,221 crore at the end of FY25, though this improved from ₹1,312 crore in FY24. As per Spotify Technology SA’s global annual report, the India unit had net operating loss carry-forwards of €117 million as of December 2024. These losses can be offset against future taxable profits, subject to applicable laws and regulations. Source: Economic Times

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Genpact’s New 10-Hour Workday Triggers Employee Outrage and Industry Criticism

Genpact, a prominent name in the tech and business services industry, is facing mounting criticism over its recent decision to implement a 10-hour daily work schedule. The policy, communicated internally nearly three weeks ago, has sparked concern and dissatisfaction among employees, particularly in its Hyderabad offices, where the rollout is expected to begin mid-June, as reported by The Hindu. Employees have voiced fears over rising work pressure, compromised work-life balance, and lack of transparency surrounding the change. Many took to social media platforms, including Reddit, to express outrage, calling the new rules “pathetic” and questioning the minimal incentives offered in exchange for longer hours. According to employees, productivity will now be closely monitored via an internal tracking portal. Workers who complete the designated hours can earn up to 500 points per month—translating to ₹3,000—but only ₹150 of that reflects compensation for the extra time, which many argue is negligible. Additionally, employees must now maintain 9 hours of “active” work, monitored through keystroke-logging tools like “WAM,” failing which warning emails are issued. Repeated violations can lead to deductions in bonuses and appraisals. One senior staffer, speaking anonymously, described a rising wave of attrition and growing pressure on those remaining. “Every day, experienced employees are leaving, and new hires are brought in. If someone raises questions, they’re labeled as having behavioral issues and shown the door,” they said. The source added that HR transparency, once a norm at Genpact, has deteriorated, with all hiring and monitoring decisions now tightly controlled by upper management. HR professionals and industry veterans have also criticized the move. A former Genpact employee, now a senior figure in the ITES sector, lamented that the policy betrays the progressive principles the company was once known for. They expressed concern that this precedent might encourage other firms—especially Indian companies—to adopt similar exploitative policies. Executive recruiter Achyut Menon pointed out that this development reflects a wider post-pandemic trend. “During COVID-19, many companies gave out generous salary hikes. Now, some believe they overcompensated, and are using extended hours and rigid policies to push staff out, making room for cheaper hires,” he explained. While employees initially hoped the company might reverse the decision after two weeks of feedback, no rollback has occurred, further deepening the unrest within the workforce. Source: Economic Times

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