Financial Performance Summary (Consolidated ₹ Million)

| Metric | Q1 FY27 | Q1 FY26 | YoY Change |

| Revenue from operations | 4,232.7 | 3,319.7 | +27.5% |

| Adjusted EBITDA* | 347.4 | 334.2 | +4.0% |

| Adjusted EBITDA Margin | 8.2% | 10.1% | -190 bps |

| ESOP Cost | 4.1 | 18.3 | -77.6% |

| Adj. Profit Before Tax* | 261.6 | 349.0 | -25.0% |

| Profit After Tax | 175.3 | 261.1 | -32.9% |

| PAT Margin | 4.1% | 7.9% | -380 bps |

*Adjusted EBITDA is after reducing ESOP expenses and adding EBITDA share of associate. Adj PBT includes PBT share of associate.

Key Performance Highlights

  • Propel margins surged due to strong performance from Greenedge as well as overriding commissions received in the quarter
  • Incentive & Cashback as a percentage of revenue stood at approximately 66.3%, showing optimization from 69% during Q4 FY26

EBITDA Margin Reduction Drivers

The 190 basis point compression in EBITDA margin was attributed to five specific factors:

1. Expenses related to the Dice acquisition including transaction costs, one-time vendor payments, and relocation expenses for 100+ professionals

2. Revenue from Dice contracts was not captured in Q1 FY27 and will start reflecting from Q2 FY27 onwards

3. Moderated push of expenses into the P&L which were earlier capitalized

4. Increments for existing employees

5. Added employee costs and other expenses from the acquisition of Zagg.Money

Strategic Initiatives and Investments

  • Completed investment of ₹80 million in Unobanc Private Limited, a subsidiary of Hop Financial Solutions Limited, which holds an Authorised Dealer Category II licence from RBI
  • This investment strengthens capabilities in cross-border payments, forex cards and remittances
  • From Dice acquisition, brought enterprise clients including Hindalco, Bajel, Trident Group, IDFC First Bank, Lenskart, Nephroplus and XpressBees
  • Dice's technical expertise is accelerating AI roadmap across Save and Zoyer platforms
  • Strengthening automated spend analytics, approval workflows and predictive expense management

Management Commentary

Raj P Narayanam, Founder and Executive Chairman, stated: "Q1 FY27 marks an important inflection point for Zaggle as we move from a decade of profitable growth into a phase of transformation through consolidation. Our focus is now firmly on optimizing core operations, scaling AI across our platforms, and integrating our recent acquisitions - all while calibrating our capitalization and instilling greater cash flow discipline to position the company for higher-margin growth in the years ahead."

Business Overview

Zaggle operates in the business-to-business-to-customer segment with diversified financial technology products and services:

  • One of the largest issuers of prepaid cards in India in partnership with 19 banking partners
  • One of the largest commercial credit cards players in India based on spends generated
  • Diversified portfolio of SaaS products including tax and payroll software
  • More than 50 million prepaid cards issued as of June 30, 2026
  • More than 4.03 million users served as of June 30, 2026
  • Network covers banking and finance, technology, healthcare, manufacturing, FMCG, infrastructure and automobile industries