One MobiKwik Systems (MOBIKWIK) Q1 25/26 earnings summary

Executive summary

• Achieved record quarterly payments GMV of INR 384 billion, up 53% YoY and 16% QoQ, with user base at 180.2 million and merchant base at 4.64 million.

• Payments business contributed 76% of total income, with gross margin at an all-time high of 28%, up 12% YoY.

• Lending/financial services saw 30–31% QoQ growth in disbursals, with ZIP EMI disbursals at INR 6,931 million and gross margin improving to 13.3%.

• EBITDA improved 32% QoQ to INR (312) million, driven by higher contribution margin and cost optimization.

• Registered user base grew 12% YoY to 180.2 million, and merchant base expanded 9% YoY to 4.64 million.

Financial highlights

• Total income for Q1 FY26 was INR 2,816 million, up 1.1% QoQ; revenue from operations at INR 2,714 million.

• Contribution margin improved to 27.5% from 22.8% QoQ, and absolute CM grew 21.7% QoQ.

• Payments gross margin reached 27.9% (up from 16.1% YoY), and financial services gross margin improved to 13.3%.

• EBITDA margin improved to (11.1)% from (16.4)% QoQ, with EBITDA loss narrowing to INR 312 million.

• PAT loss reduced to INR 419 million from INR 560 million in the previous quarter.

Outlook and guidance

• Management expects continued operating leverage and path to profitability, with EBITDA breakeven targeted for Q3 or Q4 FY26.

• Focus remains on cost optimization, scaling payments, expanding financial services, and leveraging new licenses in stock broking and payment gateway.

• Anticipate lending gross margin to return to 40% by H2 FY26 as accounting changes normalize and disbursals increase.

• Regulatory changes (e.g., Pocket UPI, interchange) and new product launches expected to provide additional revenue upside.