Pocket FM Business Model of Audio Series Paid by the Episode
How Pocket FM earns from coins that unlock audio episodes and from ads.
Key Takeaways
- FY24 revenue from operations was ₹1,051.97 crore at Pocket FM.
- Pocket FM reported a net loss of ₹165 crore in FY24, down 21%.
- Pocket FM said its FY25 revenue rose 68% to ₹1,768 crore.
- Its run rate passed $500 million in September 2026.
Table of Contents 11 sections
- Pocket FM at a glance
- What Pocket FM does
- How the Pocket FM business model makes money
- Pocket FM's Business Model Canvas
- Is Pocket FM profitable
- Pocket FM's revenue run rate
- Pocket FM founder and journey so far
- Who Pocket FM competes with
- Pocket FM valuation, funding talks and listing plans
- Conclusion on the Pocket FM business model
- FAQs
The Pocket FM business model is built on long audio series that listeners pay to unlock episode by episode, with advertising as a second source of revenue. The Bengaluru company makes audio dramas in English and Indian languages and sells most of them to listeners in the US.
In FY24, Pocket FM reported revenue from operations of ₹1,051.97 crore and a net loss of ₹165 crore. Pocket FM said FY25 revenue rose 68% to ₹1,768 crore, and in September 2026 its parent, Pocket Entertainment, said its annualised revenue run rate had passed $500 million.
Pocket FM at a glance
| Item | Detail |
|---|---|
| What it does | Audio series app where listeners pay to unlock episodes |
| Founded | 2018, in Bengaluru |
| Founders | Rohan Nayak (CEO), Nishanth KS and Prateek Dixit |
| FY25 revenue | ₹1,768 crore, as stated by Pocket FM |
| FY24 revenue and loss (global) | ₹1,051.97 crore revenue from operations, ₹165 crore net loss |
| Annualised revenue run rate | Over $500 million (September 2026) |
| Listeners | More than 250 million across over 20 countries |
| Last priced round | $103 million Series D at a $750 million valuation (March 2024) |
| Listing status | Unlisted; no IPO filing |
What Pocket FM does
Pocket FM is an app for audio series: long stories in genres such as fantasy, romance and thriller, told in episodes that are released one after another. Its best known title, My Vampire System, has passed 1.5 billion plays. The parent company, Pocket Entertainment, also runs Pocket Saga, a microdrama app it launched in 2026.
The stories come from a large pool of creators. Pocket FM says more than 550,000 creators work on its platform, and its library holds more than 770,000 titles.
How the Pocket FM business model makes money
Pocket FM earns money in two main ways. The bigger one is paid listening. Some series and episodes are free, and listeners buy coins to unlock the rest, a little like buying items in a mobile game. The second is advertising, where brands pay to reach people who listen on the app.
Pocket FM revenue model in FY24
In FY24, subscriptions and episode unlocks brought in ₹934.73 crore, or about 89% of revenue from operations. Advertising brought in ₹89.34 crore. The remaining ₹27.9 crore came from other sources.
Pocket FM titles and revenue retention
By September 2026, 96 titles on Pocket FM had each made more than $1 million, and 13 had made more than $10 million. Revenue retention has also risen: Pocket FM's revenue retention rose to 76% from 44%.
Pocket FM's Business Model Canvas
Is Pocket FM profitable
Revenue from operations rose from ₹176.36 crore in FY23 to ₹1,051.97 crore in FY24, and Pocket FM said FY25 revenue was ₹1,768 crore. The FY24 net loss was ₹165 crore, 21% lower than in FY23.
Pocket Entertainment has said it is profitable and cash-flow positive on an adjusted basis, but it has not disclosed a profit figure.
Pocket FM's revenue run rate
Pocket FM also reports an annualised revenue run rate. It was over $150 million in March 2024, crossed $400 million in March 2026 and passed $500 million in September 2026. A run rate is a company figure, not audited annual revenue.
Pocket FM founder and journey so far
| When | What happened |
|---|---|
| 2018 | Rohan Nayak, Nishanth KS and Prateek Dixit found Pocket FM in Bengaluru |
| March 2022 | Raises $65 million in a Series C round from Goodwater Capital, Naver and Tanglin Venture Partners |
| March 2024 | Raises $103 million in a Series D led by Lightspeed, with StepStone Group, at a $750 million valuation |
| FY24 | Revenue from operations reaches ₹1,051.97 crore |
| June 2026 | Shuts Pocket TV, a microdrama app it ran as a beta |
| September 2026 | Pocket Entertainment says its run rate has passed $500 million |
The Series D took Pocket FM's total funding to $196.5 million. Its backers include Lightspeed, StepStone Group, Tencent and Times Internet.
Who Pocket FM competes with
In India, Pocket FM competes with Kuku FM, another app for audio series and audiobooks. Pocket FM also competes for listening time with audiobook services such as Audible, owned by Amazon, and Spotify, which launched audiobooks in India in November 2026.
Pocket FM valuation, funding talks and listing plans
The $750 million valuation from the March 2024 Series D is the last one set in a closed round. In April 2026, reports said Pocket FM was in talks to raise $100 million to $120 million at a valuation of about $2 billion; no closed round has been announced. Reports in June 2026 said Pocket FM had begun internal talks on a reverse flip, moving its parent company back to India, a step towards a possible listing at home. It has not filed for an IPO.
Conclusion on the Pocket FM business model
Pocket FM turns stories from a large pool of creators into long audio series. Listeners can start some series for free and buy coins to unlock the rest, and brands pay for ads. Most of the money comes from paid listening, which made up about 89% of FY24 revenue from operations.
FY24 revenue from operations was ₹1,051.97 crore, with a net loss of ₹165 crore. Pocket FM said FY25 revenue was ₹1,768 crore, and Pocket Entertainment said its annualised revenue run rate passed $500 million in September 2026, from more than 250 million listeners in over 20 countries.
