MobiKwik Q4 FY25 Results: Payments Boom, But Profitability Lags

May 19, 2025

MobiKwik Q4 FY25 Results: Payments Boom, But Profitability Lags | Detailed Analysis for Investors

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MobiKwik Q4 FY25 results show strong growth in digital payments and user base, but profitability takes a hit due to weak lending business. Read the full financial analysis and investor outlook.

Tags: MobiKwik Q4 FY25 Results, Digital Wallet India, Fintech Stocks 2025, IPO 2024 Companies, Indian Fintech News, MobiKwik Stock Review, UPI Growth India, Digital Credit, Financial Services India

🧾 MobiKwik Q4 FY25 Financial Results – Summary at a Glance

India’s leading digital wallet and fintech platform, MobiKwik, reported its Q4 FY25 earnings with mixed results. The company showcased a massive jump in transaction volumes and user growth, yet faced a steep drop in profitability due to underperformance in its lending segment.

🔍 Key Quarterly Highlights (Q4 FY25 vs Q4 FY24)

Metric	Q4 FY25	Q4 FY24	YoY Change
Revenue from Operations	₹267.8 Cr	₹264.9 Cr	▲ 1.1%
Total Income	₹278.5 Cr	₹271.6 Cr	▲ 2.5%
EBITDA	₹(45.8) Cr	₹5.9 Cr	▼ Negative Turn
Net Profit (Loss)	₹(56.0) Cr	₹(0.7) Cr	▼ Steep Decline
Contribution Margin	22.8%	36.0%	▼ Lowered

📈 Full-Year FY25 Performance – Strong Revenue, Weak Margins

Metric	FY25	FY24	YoY Change
Revenue from Operations	₹1,170.2 Cr	₹875.0 Cr	▲ 33.8%
Total Income	₹1,192.5 Cr	₹890.3 Cr	▲ 34.0%
EBITDA	₹(79.4) Cr	₹37.2 Cr	▼ Losses Incurred
Net Profit (Loss)	₹(121.5) Cr	₹14.1 Cr	▼ Reversal
Payments GMV	₹1,15,868 Cr	₹38,195 Cr	▲ 203%
Credit Disbursement (GMV)	₹5,358 Cr	₹9,093 Cr	▼ 41%

💳 Segment-Wise Performance Breakdown

✅ Digital Payments

Transaction volumes (GMV) grew over 200% YoY.
Payments revenue increased 142% YoY to ₹767.4 Cr.
Gross Margin rose to 19.7%, among the best in industry.
Registered user base grew to 17.64 Cr with 2.06 Cr new users in FY25.

🔻 Digital Credit & Lending

Credit disbursements fell sharply by 41% YoY.
Despite lower volumes, margins in lending improved slightly (46.7% vs 45.7% last year).
Lending costs increased, driven by accounting changes and paused short-tenure products.

🔬 Balance Sheet Overview (As of March 31, 2025)

Item	FY25 (₹ Cr)	FY24 (₹ Cr)
Total Assets	₹1,360.4	₹854.7
Shareholder Equity	₹588.7	₹162.6
Total Liabilities	₹771.7	₹692.1
Cash & Equivalents	₹276.6	₹294.6

👥 Ownership & IPO Utilization Insights

MobiKwik went public in Dec 2024, raising over ₹530 Cr through IPO.
IPO Proceeds are still largely unutilized: ~₹3,800 Cr remains available for growth.
No major changes observed in promoter or institutional shareholding as per recent filings.

🧠 Strategic Growth Outlook

🔹 Innovation-Focused Expansion

AI-based tools to improve collections, agent productivity, and coding cycles.
Launch of Pocket UPI – a bank-free UPI alternative focused on Bharat.
Rollout of FD-backed credit card to drive first-time credit access.

🔹 Fintech Ecosystem Play

Introducing B2B products: in-chat payments, instant settlements, and EMI stack at checkout.
Exploring new lending partnerships and secured credit options for H2 FY26.

🤖 Expert Verdict: Buy, Hold or Avoid?

🔼 Positives:

Explosive payments growth (GMV up 203%)
Cost-efficient operations with rising gross margins
Diversifying fintech product lines with UPI-first and AI-led tools

🔽 Negatives:

Net losses widened in FY25 to ₹121.5 Cr
Digital credit volumes dropped over 40%
EBITDA margin turned negative (-6.7%) due to fixed costs and lending headwinds

📌 Final Words:

MobiKwik is clearly growing, especially in the digital payments space. However, until the lending business revives and margins stabilize, the stock remains risky for short-term investors but potentially rewarding for long-term believers in India’s fintech story.

Disclaimer: This information is for educational purposes only and should not be considered investment advice. Please do your own research before making any financial decisions.

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