hopes to breakeven this fiscal; to file DRHP for IPO next year

Fintech services marketplace expects to soon launch co-branded credit cards on UPI. hopes to breakeven this fiscal; to file DRHP for IPO next year

Sunday July 30, 2023,

2 min Read

Fintech firm Bank Bazaar expects its bottomline to turn positive this financial year, with the help of newer products including co-branded credit cards on UPI.

Post-breakeven, the company will start the preparation for listing and hopes to file the Draft Red Herring Prospectus for initial public offering (IPO) in the next financial year, Founder and CEO Adhil Shetty told PTI.

The company which started off as a loan comparison platform in 2008, is now majorly into co-branded credit card space, issuing such cards in association with banks. expects to soon launch co-branded credit cards on UPI, Shetty said, adding that this is going to accelerate revenue as demand for credit is high.

Besides, he added, targeted no-cost EMIs every month are going to add to the topline and the company is set to push revenue to over Rs 250 crore in FY2024 with profit.

During the first quarter, the company posted a 51% increase in revenue driven by its portfolio of co-branded credit cards and personal loans. The audited FY2023 revenue of was Rs 159 crore, registering a 66% growth over the previous fiscal with earnings before interest, taxes, depreciation, and amortization (EBITDA) burn of 14%.

With a strong momentum of 66% growth in FY2023 and a significant reduction in EBITDA burn, the company strategically positioned to accelerate the revenue growth in FY24 to Rs 250 crore, he claimed.

"In a landscape where governance is critical, we are working on showcasing our dedication to transparency and financial responsibility as we look to an IPO in the coming year. Our proactive approach and focus on EBITDA allows us to maintain our strong position in the market and instils confidence in our stakeholders," Shetty added.

Edited by Kanishk Singh