Pine Labs-owned Setu's revenue jumps almost 2.5X, loss narrows

Pine Labs Group's Setu's operational revenue doubled for the year ending March 31, 2024, and its net loss reduced from a year ago.

The fintech startup's consolidated revenue from operations of Rs 35.2 crore was higher than the Rs 13.8 crore it had reported a year ago.

Consolidated annual loss for the year was Rs 41.2 crore, smaller than a loss of Rs 62.4 crore, in the corresponding year-ago period.

Setu, which earns primarily by providing a host of application programme interfaces (API) that conduct transactions through the Bharat Bill Payment System (BBPS) and UPI, managed to keep a lid on its expenses, which were almost flat at Rs 77.9 crore, compared with Rs 79.7 crore a year ago.

Co-founded by Nikhil Kumar and Sahil Kini in 2018, Setu was acquired by Pine Labs in June 2022 in a deal reportedly worth $70 million.

The startup enables the consolidation of all financial data of users at a single location and allows users to access services quickly.

Its APIs are currently used across industry verticals including startups, retail enterprises, banks, insurance, and lending companies.

Setu's existing and emerging use cases cut across multiple digital ecosystems, from Aadhaar eSign to BBPS, payment collection integration via WhatsApp, and FASTag payment collection, among others.

In May this year, the company, in collaboration with Sarvam AI, launched India's first large language model (LLM) for the banking, financial services and insurance (BFSI) sectors, called Sesame.