MobiKwik losses widen to 42 crores in Q1, operating revenue falls 21 pc

New Delhi, Aug 1 (IANS) Fintech company One MobiKwik Systems reported a consolidated net loss of Rs 41.9 crore for the April-June quarter(Q1 FY26), surging over 6 times from the Rs 6.6 crore loss reported during the same period the previous year.

According to its regulatory filing, the company's operating revenue was Rs 271.3 crore, around a 21 per cent decrease from the Rs 342.2 crore recorded in Q1 FY25.

However, MobiKwik demonstrated some improvement on a sequential basis, with revenue rising marginally by 1.3 per cent from Rs 267.7 crore. The losses have also decreased from Rs 56 crore in the previous quarter (Q4 FY25).

The total expenses during the quarter stood at Rs 312.8 crore, down from Rs 343.6 crore in the year-ago period.

Higher payment gateway fees, which increased from Rs 127.6 crore to Rs 142.8 crore, were a major contributing factor in widening the losses, as per the filing.

Additionally, employee benefit costs went up slightly to Rs 41.9 crore in the quarter under review from Rs 39.1 crore in the corresponding quarter last year.

The company, which concluded its initial public offering (IPO) in the quarter that ended in December 2024, reported that it had spent Rs 214 crore of the Rs 530.5 crore that was raised from the offering, as of June 30.

"We are pleased with the consistent progress across our core business. Payments demonstrated strong growth and Financial Services recovered, resulting in an improved Q1 EBITDA, which reinforces our path to profitability," One MobiKwik Systems Ltd Executive Director, Co-founder and CFO, Upasana Taku, said.

We remain focused on driving operating leverage and building for long-term value creation, she added.

Meanwhile, the shares of the company were trading in negative territory on Friday amid selling pressure following the subdued Q1 earnings reports. At around 1.20 pm, the stock was trading at Rs 237.27, down 3.38 per cent or Rs 8.31.

The scrip fell by over 7 per cent in the last 5 trading sessions, while it plunged over 40 per cent in the last 6 months. Year to date, the MobiKwik shares nosedived by over 60 per cent.

--IANS

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