Zaggle Prepaid Ocean Services (ZAGGLE) Q3 24/25 earnings summary

Executive summary

• Achieved record revenue, adjusted EBITDA, and PAT for Q3 and nine months FY2025, with strong growth across all business lines and key metrics.

• Expanded customer base to over 3,300 corporates, signing major brands such as Blinkit, CanFin Homes, BigBasket, Mumbai Metro One, Mahindra First Choice Wheels, and Hitachi India.

• Completed acquisition of Span Across IT Solutions Private Limited, making it a subsidiary as of September 30, 2024.

• Raised INR 5,950 Mn via QIP in December 2024 to fund inorganic expansion, debt repayment, and general corporate purposes.

• Entered strategic partnerships with HDFC Bank, Mastercard, Strada, and TBO TEK, and won multiple industry awards in 2024.

Financial highlights

• Q3 FY2025 consolidated revenue rose 69% YoY to INR 3,404.13 million; nine-month revenue up 77% YoY to INR 8,916.50 million.

• Adjusted EBITDA for Q3 FY2025 increased 38% YoY to INR 315 million; nine-month adjusted EBITDA up 48% YoY to INR 866 million.

• PAT for Q3 FY2025 grew 33% YoY to INR 202 million; nine-month PAT more than doubled YoY to INR 567.72 million.

• Propel Platform revenue contributed INR 192 crores in Q3, with program fees at INR 135 crores and SaaS/platform fees at INR 8.9 crores.

• Gross profit margin for Q3 FY2025 at 44.8%; adjusted EBITDA margin at 9.4%; PAT margin at 6.0%.

Outlook and guidance

• FY2025 revenue growth guidance raised to 58%-63%, with management targeting further upside if current trends persist.

• Targeting EBITDA margin expansion to 15%-16% over the next four years, driven by higher-margin SaaS and program fee growth.

• Focus on customer acquisition, technology development, and debt reduction using raised funds.