Financial Performance Overview
One MobiKwik Systems Limited reported significantly improved financial results for FY26, with consolidated net loss narrowing to ₹621.01 million from ₹1,215.29 million in FY25. Revenue from operations declined to ₹11,192.32 million from ₹11,701.74 million, while total expenses decreased to ₹12,064.12 million from ₹12,917.06 million. The company achieved its first two consecutive profitable quarters in H2 FY26 with ₹84 million PAT, representing a major turnaround from previous losses.
Operational and Business Highlights
Payments gross profit grew 90% YoY to ₹2,867 million despite flat revenue, while financial services gross margin expanded dramatically from 4% in Q4 FY25 to 59% in Q4 FY26. The company maintained strong user metrics with 189.6 million registered users and 4.9 million merchant partners as of March 2026, with geographic expansion from 366 cities to 1,118 cities.
Regulatory Milestones and Licensing
The company received RBI in-principle approval for an NBFC license on April 27, 2026, enabling its transition from lending services to own-book lending. Additional regulatory achievements include securing an Online Payment Aggregator license through Zaakpay subsidiary, stock broking license, and Payment Aggregator - Physical authorization granted on May 25, 2026.
Fraud Incident and Recovery
A significant fraud incident was disclosed involving ₹403.59 million in unauthorized settlements by merchants exploiting a technical bug in the Nuh and Mewat regions of Haryana. By March 31, 2026, the company had recovered ₹276.02 million, secured ₹9.26 million through merchant affidavits and court orders, and was pursuing recovery of the remaining ₹118.31 million. No employee involvement was confirmed.
Liquidity and Capital Position
The company maintained a strong liquidity position with cash and cash equivalents of ₹2,391.35 million and other bank balances of ₹6,540.00 million as of March 31, 2026. Total equity stood at ₹5,388.96 million with borrowings of ₹2,611.68 million. The current ratio was 1.47 and debt-equity ratio was 0.48.
Corporate Governance and AGM Details
The 18th Annual General Meeting is scheduled for September 22, 2026 via video conference, with remote e-voting through NSDL from September 19-21, 2026. The board composition includes 8 directors (2 executive, 5 independent, 1 nominee). Key committee structures and auditor appointments (B S R and Co. for statutory audit) were maintained with unmodified audit opinions.
Exceptional Items and Contingencies
The company recognized exceptional items of ₹155.94 million, including ₹37.64 million for statutory impact of new labor codes and ₹118.30 million for expected credit loss on unauthorized settlements. Contingent liabilities include income tax disputes totaling ₹1,353.34 million for FY2014-16 and service tax demands of ₹78.63 million plus penalties for FY2014-18.
Subsidiary Performance and Related Parties
Key subsidiaries include Zaak ePayment Services (revenue contribution 103%, net worth ₹6,037.64 million), MobiKwik Finance, Distribution Services, and Investment Adviser. Significant related party transactions included payment gateway costs of ₹1,728.20 million with Zaak ePayment Services.
Compliance and Going Concern Assessment
Despite accumulated losses, management confirmed going concern status based on current business plans, cash position, and expected operational improvements. The company maintained RBI authorization for prepaid payment instruments valid until September 30, 2026 and complied with all applicable SEBI listing regulations and secretarial standards.