Last year, Swedish phone book app Truecaller was forced to lay off 20 per cent of its staff. The company also made a $21 million loss, with almost no revenue at all. This year, thinks are looking much better.
According Breakits sources, Truecaller has now reached a positive cash flow on a monthly basis. The company’s CEO Alan Mamedi said last year in an interview with Breakit that he was “aiming at profitability” for 2016.
In March, the company launched a new advertisement model. Now it seems the efforts to monetize the service has given some result.
Truecaller’s quick move towards profitability makes sense. The company has over 200 million users, which makes it possible to reach a huge audience with the ads. Data from analytics firm Drawbridge also shows that Truecaller, during the second quarter of 2016, was one of the most used apps on Android.
During the quarter, Truecaller was one of the 15 apps in the world with the highest amount of ad requests inside the app – meaning that it showed a lot of ads to its users. That was the quarter in which Truecaller made it into Drawbridge’s to list.
Truecaller declined to comment on this article.