Zaggle Q2 profit jumps 72%, topline surges on back of new clients, cross-selling
Zaggle served 3,674 B2B customers during the quarter, registering a 14% growth, while aggregate users jumped 16% YoY to 3.5 million.
Zaggle Prepaid Ocean Services posted strong September-quarter results, with profit rising faster than costs as revenue growth held up.
Net profit attributable to owners jumped 72% year-on-year to Rs 35 crore in Q2 FY26 from Rs 20.29 crore a year earlier. Meanwhile, profit before tax rose 64.4% to Rs 46.21 crore, reflecting operating leverage as topline expanded.
Revenue from operations increased 42.9% to Rs 432.22 crore versus Rs 302.56 crore in the prior-year quarter. The earnings outpaced total expenses, which grew 41.6% to Rs 397.10 crore from Rs 280.50 crore, broadly in line with revenue growth.
Within operating costs, the cost of point redemption and gift cards surged 45.6% to Rs 235.78 crore from Rs 161.93 crore. Incentives and cashback expenses rose 46.7% to Rs 115.85 crore, compared with Rs 78.97 crore a year earlier.
“Since our listing two years back, we continue to deliver upon our guidance, and our current results are no exception, where we delivered our best-ever half-yearly and quarterly performance across parameters," the fintech company said in a filing.
"In light of our strong performance and sustained momentum across all business segments, we have recently upgraded our revenue growth guidance to 40–45% while our EBITDA guidance continues to remain in the range of 10–11%,” it added.
The company, which provides spend management and fintech solutions, credited the improvement to growing clients, an expanding user base, and deeper cross-selling of its Propel platform—a SaaS platform to manage rewards, incentives, and engagement programmes for businesses. The number of customers served rose to 3,674, up 14.3% year-on-year, while aggregate users climbed 15.8% to 3.51 million.
Zaggle’s management highlighted new product rollouts and partnerships as key growth drivers. During the quarter, it launched the Zaggle GlobalPay Forex Card and the Zaggle × Mastercard Prepaid Card, which are specialised financial products designed to streamline corporate travel, spending, and expense management, especially for businesses and travellers managing international transactions.
It also entered the retail-card segment through a tie-up with AU Small Finance Bank and added partnerships with Standard Chartered Bank and Suryoday Small Finance Bank, widening its network across commercial credit cards, prepaid products, retail cards, and UPI.
Edited by Kanishk Singh