Zoff, the Indian D2C spices brand, passed a key milestone with over ₹100 crore in operating revenue for the financial year ending March 31, 2025. This is a big step for the fast-growing direct-to-consumer brand, even with higher losses due to rising costs and long-term growth investments.
Founded in 2018 by Akash and Ashish Agrawal, Zoff competes in the spices and whole foods market. After appearing on Shark Tank India and getting backing from Aman Gupta, it gained national attention. In FY25, operating revenue went up 11% year-over-year to ₹103 crore from ₹93 crore in FY24, strengthening its place among emerging D2C brands in India.
While revenue growth was steady, scaling a D2C business in a cost-sensitive FMCG category showed its challenges. Total expenses rose sharply by 32% to ₹120 crore in FY25 from ₹91 crore in FY24. Raw material purchases were the biggest cost, making up 61% of total spending and rising to ₹73 crore in FY25 from ₹60 crore the year before, showing the inflation issues facing D2C food and beverage brands.
Marketing investments also increased as Zoff worked on brand building, getting customers, and increasing its offline presence. Advertising and marketing spending tripled to ₹12 crore in FY25, compared to ₹4 crore in FY24, showing how competitive the spices market is and the need to stand out in India’s crowded D2C space. Employee-related expenses grew 25% to ₹5 crore, and the company reported ₹4 crore in bad debt write-offs during the year.
As a result of these investments and cost issues, Zoff reported a loss of ₹17 crore in FY25, compared to a small loss of ₹20 lakh in FY24. Its EBITDA margin was -17.96%, and ROCE was -54.17%. The company spent ₹1.17 to earn every rupee of operating revenue, compared to ₹0.98 the year before. Current assets increased to ₹50 crore, while cash and bank balances were at ₹0.2 crore at the end of FY25.
Despite the losses, Zoff is still focused on building a scalable, omnichannel D2C business model in India. The brand sells premium spices, dry fruits, and whole food products on its D2C website, marketplaces, and in physical stores. According to sources in the industry, Zoff is planning a new round of D2C funding to strengthen its offline presence and distribution network.
Zoff has raised about $5 million to date, with JM Financial India as its lead investor. The founding team still has a strong ownership, holding 52.5% equity in the company. The focus on offline expansion fits with D2C market trends in 2025, where brands are combining online reach with physical retail to drive trust, repeat customers, and sustainable growth.
Zoff’s FY25 results show a broader trend in Indian D2C updates, where brands are focusing on scale, brand awareness, and equity over short-term profits. As the company adjusts costs and improves execution, its ₹100 crore revenue milestone puts it in a good position in the changing D2C industry, with the next stage focused on operational and profitable growth.
