X’s revenue in India plummeted 89.8% to $2.51 million in the financial year ending March, according to regulatory filings from the Elon Musk-owned social network.
The company, which had posted revenue of $24.7 million in the previous fiscal year, also significantly reduced its expenses in India to $2.2 million from $20 million year-over-year, the filing revealed.
Despite the dramatic revenue drop, the India unit managed to report a profit of $380,000 for the fiscal year ending March, down from $3.62 million in the prior year.
Musk previously identified India as a key market for Twitter. In an earlier lawsuit Musk had filed against Twitter, he said he believed India was the company’s third-largest market.
It remains unclear why X’s revenue declined so dramatically in the country, but it coincides with widespread local and global layoffs. The downturn also mirrors the platform’s global struggles to retain advertisers.
X didn’t immediately respond to a request for comment.