MobiKwik Sees Growth Momentum with Third Straight Profitable Quarter, Plans for Public Listing

The Indian fintech firm, MobiKwik has reported a consolidated profit of Rs 5 crore in the quarter ending September 2023. This represents a significant milestone for the company, marking its third consecutive profitable quarter and second at the PAT (profit after tax) level. The strong financial performance is expected to continue throughout the current fiscal year, according to a senior official from the company.

Strong Growth in Digital Credit and Payment Business

MobiKwik's impressive financial results have been driven by robust growth in its digital credit and payment business. Revenue increased by 52 per cent to Rs 208 crore during this period, up from Rs 136.9 crore in the same quarter of the previous year. "We have seen good growth in our digital credit and payment business," said Singh, an executive at MobiKwik. He added that their digital credit business had grown even faster.

First Profit After Tax

In another significant development for MobiKwik, it posted its first-ever profit after tax of Rs 3 crore during the June 2024 quarter with revenue standing at Rs 177 crore. This achievement marked a key turning point for the fintech firm as it continues on its path towards profitability.

Achieving Momentum

The continued profitability of MobiKwik signifies that their growth momentum is moving in the right direction. In fact, there has been a whopping increase of around 58 per cent increase in revenues within just six months into this fiscal year when compared to first half-yearly revenues of last fiscal year i.e., FY22-23.

Potential Public Listing

Moving forward, MobiKwik plans to evaluate its position based on ongoing performance and market conditions for potential public listing by June next year. This evaluation will be a key determinant of the firm's future strategic direction and growth trajectory.

In conclusion, MobiKwik has demonstrated impressive financial performance over recent quarters, driven by strong growth in its digital credit and payment business. With plans to evaluate its position for potential public listing next year, the company is poised for continued success in the future. However, it remains critical that MobiKwik maintains this momentum to ensure sustainable profitability and long-term success.