Neobank Open Spent INR 3.5 To Earn Every Rupee In FY25

Bengaluru-based neobank Open reported spending ₹3.5 for every ₹1 it earned in FY25, signaling high operational costs amid efforts to scale its digital banking services. The startup’s revenue grew marginally to ₹115 crore while expenses surged to over ₹400 crore due to marketing, technology development, and employee costs. Despite rising losses, Open continues to focus on expanding its SME and corporate banking solutions through partnerships with major banks and fintech players. The company is also working toward optimizing its business model by automating processes and introducing new fee-based services. This financial performance reflects the growing competition in India’s neobanking space and the challenges of achieving profitability in the sector, as firms continue to prioritize customer acquisition and infrastructure expansion over short-term earnings.