MobiKwik Rallies For Second Session, Surges 18% Intraday

SUMMARY

The shares of the fintech giant zoomed 19% to INR 355 apiece on the BSE during the early morning trade

This comes after the stock hit a 52-week low at INR 231.05 on Monday (March 17) post the end of the three-month anchor lock in period

However, it made a sharp recovery yesterday, surging 20% to end the session at INR 298

Update | March 19, 4:20 PM

Shares of MobiKwik ended the day’s trade up 11.5% at INR 332.15 apiece on the BSE. The stock rallied 19.1% to INR 355 apiece during the intraday session today.

Original | March 19, 11:07 AM

Shares of fintech giant MobiKwik continued their rally for the second straight session today, zooming 18% to INR 351.90 apiece on the BSE during the early morning trade.

At 10:54 AM, the shares were trading 17.40% higher at INR 349.85. Mobikwik’s market capitalisation stood at INR 2,717 Cr, with over 2.91 Cr shares changing hands.

This comes after the stock hit a 52-week low at INR 231.05 on Monday (March 17) post the end of the three-month anchor lock in period. However, the stock made a sharp recovery yesterday, surging 20% to end the session at INR 298.

Mobikwik made its public market debut in December 2024. Its shares got listed at INR 442.25 apiece on the BSE, a 58.5% premium to the IPO issue price of INR 279.

Founded by Bipin Preet Singh and Upasana Taku in 2009, MobiKwik offers digital banking products for consumers and merchants. It claims to have more than 172 Mn customers across India, out of which more than 4.5 Mn are merchants.

On the financial front, the company slipped into the red in Q3 FY25. It posted a consolidated net loss of INR 55.28 Cr during the quarter as against a profit of INR 5.27 Cr in the year-ago quarter. On a QoQ basis, its loss widened multifold from INR 3.59 Cr.

Operating revenue rose nearly 18% to INR 269.47 Cr during the quarter from INR 203.45 Cr in Q3 FY24. However, it declined 7% from INR 290.64 Cr from the previous quarter of FY25.

In a post-earnings call, the company’s founders said that MobiKwik is looking to enter new fintech verticals like insurance aggregator segment. Besides, it is experimenting with new lending models and focussing on balancing its lending portfolio by adding new products, Taku said during the call.

Last month, MobiKwik got approval from its board to incorporate and invest in one or more wholly-owned subsidiaries.

A few days after receiving the nod, the company infused INR 1.5 Cr to acquire an additional 3.39% stake in B2B banking company Blostem Fintech Private Limited. In March 2024, MobiKwik had signed an agreement with the banking company to invest INR 3 Cr in two tranches.