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

Executive summary

• Achieved record quarterly and nine-month revenue, adjusted EBITDA, and PAT for Q3 and 9MFY25, with strong year-over-year growth across all key metrics.

• Expanded customer base to over 3,300 corporates, signing major brands such as Blinkit, Zepto, Mumbai Metro, and Hitachi India.

• Completed a QIP fundraise of INR 5,950 Mn to support inorganic expansion, debt repayment, and general corporate purposes.

• Entered strategic partnerships with Mastercard, HDFC Bank, and Strada, enhancing distribution and product reach.

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

Financial highlights

• Q3 FY25 revenue grew 69% YoY to INR 3,364 Mn; nine-month revenue up 77% YoY to INR 8,916.5 Mn.

• Adjusted EBITDA for Q3 FY25 rose 38% YoY to INR 315 Mn; nine-month adjusted EBITDA up 48% YoY to INR 866 Mn.

• PAT for Q3 FY25 increased 33% YoY to INR 202 Mn; nine-month PAT more than doubled YoY to INR 567.72 Mn.

• Propel Platform revenue grew 87% YoY in Q3; program fee up 54% YoY in Q3 and 110% YoY for nine months.

• Adjusted EBITDA margin at 9.4% for Q3 FY25; gross profit margin at 44.8%; PAT margin at 6.0%.

Outlook and guidance

• Raised FY2025 revenue growth guidance to 58%-63%, citing strong performance and robust pipeline.

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

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