Noise Business Model: How Does Noise Make Money?

The Noise business model earns money by designing and selling affordable, style-led smartwatches, wireless earbuds and other wearables, mostly through online marketplaces and its own website, with a growing offline presence, so the margin comes from volume and brand at mass-market prices. In FY25 Noise’s operating revenue fell 24% to ₹1,048 crore, and it reported a small profit of ₹3.2 crore. I couldn’t find FY26 results, and some figures differ by source.

Quick Facts

The Short Answer

Noise is a consumer brand that sells hardware, mainly wearables.

• BW Disrupt says Noise sells smartwatches, wireless earphones and speakers via e-commerce platforms and its own website
• Founded in 2014 by Amit and Gaurav Khatri, it started with smartphone cases and accessories, according to Dealroom
• It targets value-conscious younger buyers with premium-looking products at mass-market prices, according to one competitive analysis
• Revenue from the sale of products was its operating income in FY25, with a further ₹17.1 crore of other income, including interest on investments

Where the Money Comes From

Product sales dominate.

• Revenue from operations of ₹1,048 crore was from sale of products, and ₹17.1 crore came as other income, according to Startuppedia
• One analysis says wearables account for more than 70% of the mix, though that page also quotes a FY25 revenue of about ₹1,250 crore, which doesn’t match the filings, so treat it cautiously
• The portfolio includes smartwatches, wireless earbuds, Bluetooth headphones, smart rings and speakers, according to Dealroom
• One analysis claims software and health subscriptions add recurring revenue, but I couldn’t verify that

Sales Channels

Online comes first, with offline growing.

• Noise generates revenue primarily through direct sales on its own website and major e-commerce marketplaces, with a growing presence in offline retail, according to Dealroom
• The competitive analysis says the channel mix is shifting towards D2C and omnichannel retail to protect margins
• Marketplaces bring reach but take commission, while its own website keeps the full margin on a smaller share of sales

The FY25 Picture

A smaller business with a thin profit.

• Revenue fell 24% from ₹1,384 crore to ₹1,048 crore, according to filings with the Registrar of Companies, as reported by BW Disrupt and Entrackr
• Cost of goods fell 23% to ₹725 crore, broadly in line with the drop in scale, and employee costs fell 12% to ₹71 crore
• The ₹3.2 crore profit was supported by a deferred tax gain of ₹47 crore, according to BW Disrupt, so the underlying operating result was close to break-even or worse, and Inc42 shows total expenses of ₹1,068.0 crore against total income of ₹1,065.5 crore
• Noise spent ₹1.02 to earn every rupee of revenue in FY25, unchanged from FY24

Marketing Spend

Brand-building is the biggest discretionary cost.

• Marketing and advertising spend fell from ₹286 crore to ₹180 crore, according to Startuppedia
• That’s about 17% of operating revenue in FY25 against about 21% in FY24, my arithmetic
• Cutting spend helped the bottom line but may have contributed to lower sales
• Brand and celebrity tie-ups matter in this category, as the audio-market rivalry with boAt suggests

Market Position

Noise competes with boAt for the top of the smartwatch market.

• Noise had about 25.8% of India’s smartwatch market in Q1 2025, according to one analysis, while Dealroom puts it at 29%, so the share depends on the tracker
• It holds about 12% of the TWS earbuds segment, according to the same competitive analysis
• boAt reported operating revenue of ₹3,073 crore and a profit of about ₹60 crore in FY25, roughly three times Noise’s scale
• Tracxn ranks Noise third among 62 active competitors

Funding and Scale

It’s a lean company.

• Noise has raised about $30 million over two rounds, with Bose as its institutional investor, according to Tracxn
• Before that, it was bootstrapped, according to Entrackr
• It had 317 employees as of 1 May 2026, according to Tracxn

Recent Launches and Expansion

The company keeps releasing products and reaching abroad.

• The Master Buds 2 with Bose-tuned audio launched in India on 27 February 2026, according to Latestly
• A REP fitness band with a skin temperature sensor launched around 8 July 2026, according to Notebookcheck
• Noise is targeting the UK, Europe and the Middle East (GCC) with its smart wearables, according to Startuppedia

What I Couldn’t Find

A few gaps are worth stating.

• FY26 financials weren’t in the sources I found, since private companies file with the registrar some months after year end
• Details of its manufacturing arrangements and its channel split aren’t given in these sources
• Valuation is hidden behind a paywall in Tracxn

Risks

The model has real pressures.

• Smartwatch demand is price-sensitive and crowded, with fast-changing competition
• Profit depended on a tax gain in FY25, so operating margins are thin
• Marketing cuts can slow sales
• A larger rival, boAt, has more scale in audio

FAQs

Q1. How does Noise make money?

A. By selling smartwatches, earbuds and other wearables through online marketplaces, its own website and growing offline retail.

Q2. What was Noise’s FY25 revenue?

A. ₹1,048 crore from operations, down 24% from ₹1,384 crore, with total income of ₹1,065.5 crore.

Q3. Is Noise profitable?

A. It reported a profit of ₹3.2 crore in FY25, aided by a ₹47 crore deferred tax gain, after a loss of ₹22 crore in FY24.

Q4 Who owns Noise?

A. Noise is run by Nexxbase Marketing Private Limited, founded by Amit and Gaurav Khatri, with Bose as an investor.