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Key Points

MobiKwik's share price tumbled over 9% as the lock-in period for pre-IPO investors ended, pushing it below its issue price. The company reported a sharp rise in quarterly losses despite marginal revenue growth in its payments business. While annual revenue climbed 33.7%, MobiKwik swung to a yearly loss of Rs 121.5 crore. The fintech firm highlighted strong user growth, adding 20.6 million customers in FY25.

Key Points: MobiKwik Shares Plunge 9% Below IPO Price After Lock-In Expiry

  • MobiKwik shares fall 9% below IPO price
  • Q4 net loss spikes to Rs 56 crore
  • Revenue dips slightly to Rs 267.7 crore
  • Payments GMV surges 203% YoY
2 min read

MobiKwik's share price dips over 9 pc, slips below IPO price

MobiKwik stock drops sharply post lock-in expiry, erasing 64% from peak value amid widening losses despite revenue growth in payments segment.

"MobiKwik’s net loss widened to Rs 56 crore in Q4 FY25, reversing from a Rs 0.6 crore profit last year – Financial Report"

Mumbai, June 18

Shares of One MobiKwik Systems Limited, the parent company of digital payments platform MobiKwik, fell sharply on Wednesday, dropping over 9 per cent to trade below its IPO issue price, following the expiry of the mandatory six-month lock-in period for pre-IPO shareholders.

The stock slipped 9.34 per cent or Rs 25.15 to close the trading session at Rs 244.25 on the National Stock Exchange (NSE). MobiKwik had made a strong market debut late last year, listing at a 58 per cent premium over its issue price of Rs 279.

However, the stock has since seen a steep fall and has now erased nearly 64 per cent of its value from its post-listing high of Rs 698.

Meanwhile, in the March quarter (Q4) of FY25, MobiKwik’s net loss widened significantly to Rs 56 crore, compared to just Rs 0.6 crore in the same quarter previous fiscal (Q4 FY24).

On a quarter-on-quarter (QoQ) basis, its revenue from operations dipped slightly to Rs 267.7 crore from Rs 269.4 crore.

The company also reported an EBITDA loss of Rs 56.5 crore, which was higher than the Rs 47.6 crore loss in the previous quarter.

Despite the losses, the company highlighted strong growth in its payments business. Its Gross Merchandise Value (GMV) surged 203 per cent year-on-year (YoY) to Rs 1,15,900 crore.

For the full fiscal year 2024-25, MobiKwik reported a total loss of Rs 121.5 crore, reversing from a profit of Rs 14 crore in FY24.

However, its revenue grew 33.7 per cent to Rs 1,170.1 crore, which the company credited to robust growth in its payments segment.

By the end of FY25, MobiKwik had 176.4 million users, with 20.6 million new users added during the year.

MobiKwik offers a variety of digital payment services including the MobiKwik Wallet, UPI, Pocket UPI and Zaakpay, its payment gateway platform.

- IANS

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Reader Comments

Here are 6 diverse Indian perspective comments for the MobiKwik article:
R
Rahul K.
This is why I never trust IPO hype. MobiKwik was overvalued from day one. Indian investors need to be more careful before jumping on bandwagons. The fundamentals just weren't there to support that initial valuation.
P
Priya M.
I've been using MobiKwik for years and love their services, but these financials are worrying 😟 Hope they can turn things around. We need strong Indian fintech players to compete with foreign apps like PhonePe and Google Pay.
A
Amit S.
The user growth numbers are impressive (17.6 crore users!), but what's the point if they're burning so much cash? Looks like typical startup mentality - grow at any cost. Investors are finally seeing through this.
N
Neha T.
Their UPI service is actually quite good - faster than some bigger players. Maybe they should focus more on that instead of trying to do everything. Specialization is key in fintech. #MakeInIndia
S
Sanjay P.
The lock-in period expiry was bound to cause this drop. Many pre-IPO investors just wanted quick profits. Long-term investors should wait - if they can improve monetization, there's potential here. Patience is key.
K
Kavita R.
‍♀️ As a small investor, I feel cheated. The company showed profits before IPO and now massive losses? SEBI should investigate such cases more thoroughly. Retail investors always bear the brunt of these corporate games.

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