Infibeam Closes Q3 FY24 with INR 900 Cr Revenue, Recording INR 41 Cr Profit
Three points you will get to know in this article:
- Infibeam Avenues revealed Q3 FY24 results, with notable revenue and 15.4% operational earnings growth.
- Robust operational income of Rs 858.2 crore came primarily from payment gateway and infrastructure ventures.
- Despite higher operational costs, Infibeam’s Q3 FY24 profits increased 1%, reaching Rs 40.8 crore.
On Tuesday, Infibeam Avenues, a leading fintech company, unveiled its financial performance for the third quarter of the current fiscal year, Q3 FY24. The reported results paint a compelling picture, showcasing sustained growth in both revenue and profits.
During Q3 FY24, Infibeam experienced a noteworthy 15.4% surge in revenue from operations, reaching Rs 912 crore, a notable uptick from the Rs 790 crore recorded in Q2 FY24. These promising figures were disclosed in the company’s consolidated financial report published on the National Stock Exchange.
Comparing these results with the same quarter in the preceding fiscal year, Q3 FY23, the company’s operating revenue demonstrated an impressive twofold increase, skyrocketing from Rs 414.7 crore.
This financial report underscores Infibeam Avenues’ robust performance and strategic financial gains in the current fiscal quarter.
The company successfully generated 94% of its total operational earnings through its payment gateway and infrastructure ventures, experiencing a robust 16.2% growth to reach Rs 858.2 crore in Q3 FY24, a significant leap from Rs 738.4 crore in Q2 of the same fiscal year.
Notably, contributions from its e-commerce platform business saw a more modest increase of 4.3% to Rs 53.7 crore during the corresponding period. It’s worth mentioning that Infibeam not only operates an e-commerce platform but also offers a sophisticated software framework and infrastructure to support a wide array of e-commerce and related services, spanning domains and advertising.
Non-Operational Income and Overall Revenue
Furthermore, the company augmented its earnings with an additional Rs 6.37 crore in non-operational income, derived mainly from interest and gains on financial assets. This brought the overall revenue for Infibeam to an impressive Rs 918.3 crore for the specified period.
On the spending front, operational costs, encompassing infrastructure for managing its payment business and associated expenses, constituted a significant 92.7% of the overall expenditure. This crucial cost category witnessed a noteworthy surge of 17.7%, reaching Rs 799 crore in Q3 FY24. Meanwhile, employee benefits for the company remained consistent at Rs 32.92 crore.
Ultimately, Infibeam’s total expenditure experienced a 17% upswing, reaching Rs 862 crore during Q3, compared to Rs 737 crore in the preceding quarter.
Profit Margins and Share Price Performance
Despite the uptick in costs, Infibeam successfully bolstered its profits by a modest 1%, achieving Rs 40.8 crore in Q3, as opposed to Rs 40.4 crore in the previous quarter. In the same quarter last year (Q3 FY23), the company recorded net profits of Rs 35.3 crore. Notably, on a unit level, the company expended Re 0.95 to earn a rupee in Q3 of FY24.
Over the period spanning April to December 2024, Infibeam reported a noteworthy financial performance, generating a revenue of Rs 2,444 crore from its operational activities and achieving a profit of Rs 106.7 crore.
Bolstered by these robust financial results, Infibeam recently reached a 52-week pinnacle in its share price, reaching Rs 28 per share last week. Currently, the share price stands at Rs 25.6 per share, contributing to an impressive market capitalization exceeding Rs 7,000 crore.
Acquisition of So Hum Bharat Digital Payments Private Limited
In a notable development, Infibeam has officially sanctioned the acquisition of a substantial 49.50% stake from the existing shareholders of So Hum Bharat Digital Payments Private Limited (So Hum). Following this acquisition, So Hum is set to become a fully-owned subsidiary of Infibeam. It’s worth mentioning that Infibeam had previously acquired a 50.5% stake in the digital payments firm back in February 2021.
Infibeam Avenues reported robust financial performance in Q3 FY24, with a 15.4% surge in operating revenue to Rs 912 crore, largely driven by payment gateway and infrastructure ventures. Despite a 17.7% increase in operational costs, the company achieved a modest 1% rise in profits, amounting to Rs 40.8 crore. Over April to December 2024, Infibeam generated revenue of Rs 2,444 crore from operational activities, garnering a profit of Rs 106.7 crore. Additionally, bolstered by these strong results, the company’s share price reached a 52-week pinnacle at Rs 28 per share. Moreover, Infibeam’s acquisition of a significant stake in So Hum Bharat Digital Payments Private Limited signifies an expansion of its fintech portfolio.
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