Infibeam Avenues FY22 PAT Up 19% To INR 84 Cr; TPV Rises 98%

Fintech and digital payments platform Infibeam Avenues on Monday reported a 19% year-on-year (YoY) growth in consolidated profit after tax (PAT) at INR 84 Cr for financial year 2021-22 (FY22) from INR 70 Cr in FY21. 

Net revenue grew 11% to INR 259 Cr from INR 233 Cr in the previous fiscal. Infibeam recorded transaction processed value (TPV) of INR 2.75 Lakh Cr in FY22, a growth of 98% YoY. 

The earnings before interest, tax, depreciation and amortisation (EBITDA) rose 2% to INR 145 Cr.

However, for the quarter ended March 2022, it reported 11% YoY decline in PAT at INR 28 Cr from INR 32 Cr in the year-ago quarter. Net revenue grew 15% to INR 76 Cr, while EBITDA rose 21% to INR 45 Cr.

The startup said it recorded a 13% growth in transaction processed value (TPV) at INR 85,500 Cr during the March quarter, the highest ever.

Commenting on the results, Infibeam executive director Vishwas Patel said, “Our focus continues to be the merchants, across categories, and we would be expanding our product portfolio to provide them with offerings which are relevant to them. The core of our business model is to make the entire digital payment experience simpler and enriching for our target audience. The strong growth we are experiencing in our business is encouraging and we will continue to scale this growth going forward.”

Ahmedabad-headquartered Infibeam was founded in 2007 by Sachin Dalal, Vishal Mehta and Neeru Sharma. It provides end-to-end ecommerce payments solutions to small and large merchants, enterprises and governments.

The platform has more than 5 Mn clients across digital payments and enterprise software platforms. It has international operations in the United Arab Emirates, Saudi Arabia, Oman and the United States.

Highlighting its business outlook for FY23, Infibeam said it intends to achieve a TPV of around INR 4 Lakh Cr next year. In addition, it said it is targeting a 9-10% market share of India’s digital payment ecosystem, except UPI, by FY23. The company also expects its gross revenue to be between INR 1,600-1,700 Cr next financial year.

Infibeam expects its EBITDA to be in the range of INR 170-190 crore in FY23, and PAT in the range of INR 110-120 Cr. 

According to an Inc42 report, India’s fintech startups raised around $8 Bn across 280 funding deals in 2021, a record high in both cases, while the average investment ticket size stood at $33 Mn. It is estimated that the country’s overall fintech market opportunity will reach $1.3 Tn by 2025, growing at a CAGR of 31% during 2021-2025.

Owing to the high engagement in the fintech sector, numerous deals have been struck in the recent time. In February this year, Mosambee acquired BNPL-focused fintech startup, Benow, for an undisclosed amount.

Further, Bengaluru-based fintech startup Perfios also raised close to $70 Mn in a funding round from its existing investors Warburg Pincus and Bessemer Venture Partners. 

Infibeam, through its subsidiary So Hum Bharat Digital Payments, along with its consortium partners, has also applied for a new umbrella entity (NUE) licence to set-up a pan-India NUE focusing on retail payment systems. It is awaiting the Reserve Bank of India’s nod for it.