Affle 3i Limited announced its Q1 FY2027 results, showcasing a 20.4% year-on-year revenue growth, reaching INR 7.47 billion. The company also recorded its highest ever quarterly EBITDA and PAT. This performance highlights strong execution across its CPCU business model and strategic initiatives, positioning Affle for sustained growth in both emerging and developed markets. The company remains optimistic about its medium-term guidance.
Affle 3i Limited Reports Strong Q1 FY2027 Performance
Affle 3i Limited has announced robust financial results for the first quarter of fiscal year 2027 (Q1 FY2027), ended June 30, 2026. The company achieved its 14th consecutive quarter of sequential top-line growth, reporting its highest ever quarterly revenue, EBITDA, and Profit After Tax (PAT). Revenues from operations grew by a significant 20.4% year-on-year to INR 7.47 billion. This strong performance was achieved despite macroeconomic headwinds impacting certain customer segments.
Key Financial Highlights
EBITDA for the quarter stood at INR 1.68 billion, marking a 20% year-on-year growth with stable EBITDA margins of 22.4%. Profit After Tax grew by 21.7% year-on-year to INR 1.28 billion. These results underscore the effectiveness of Affle’s differentiated CPCU (Cost Per Completed User) business model and its compounding growth strategy.
Market Performance and Strategy
India and global Emerging Markets continue to be key growth anchors, contributing 72.2% of the revenue with a 20.2% year-on-year growth. Developed Markets also demonstrated strong performance, growing by 20.7% year-on-year and contributing 27.8% of revenues. Affle is focused on increasing its participation in these markets by aligning its revenue mix with global advertising budgets. The strategic acquisition of AdColony assets is expected to enhance its publisher ecosystem and audience intelligence capabilities, further reinforcing its ability to deliver premium consumer conversions.
Innovation and Future Outlook
The company is enhancing its AI-powered Consumer Platform Stack through new Al-led innovations to empower mobile app marketers. Affle is also making progress on a larger inorganic acquisition, with due diligence underway and a target closing by early 2027. This acquisition is expected to accelerate expansion in Developed Markets. Affle received 18 awards across industry forums, highlighting its position as a technology thought leader. Looking ahead, Affle remains optimistic about its growth trajectory, supported by a disciplined strategy, a resilient business model, and a clear roadmap, aiming to create long-term value for stakeholders.
Financial Deep Dive
On a consolidated basis, Q1 FY2027 revenue from operations increased by 20.4% YoY to INR 7.47 billion, with a 3.1% sequential growth. EBITDA saw a 20.0% YoY growth to INR 1.68 billion, and Profit After Taxes grew by 21.7% YoY to INR 1.28 billion. Standalone India revenue grew 20.4% YoY. Emerging Markets grew 20.2% YoY, while Developed Markets expanded by 20.7% YoY. Operational efficiencies, driven by scalable platform operations and intelligent automations, supported profitable growth. The company reported an Operating Cash Flow (OCF) to PAT ratio of 110% in FY2026, with expectations for normalization in Q2 and Q3 FY2027.
Investor Confidence and Growth Vision
Affle reiterated its confidence in achieving its 10x growth target within five years, supported by a combination of over 20% organic growth and strategic acquisitions. The company is focused on delivering meaningful bottom-line performance and growing Earnings Per Share (EPS) and cash flows. The ongoing M&A process is expected to be accretive and not slow down the growth trajectory. Affle’s strategy in Developed Markets is focused on key verticals like Gaming, E-commerce, and Entertainment, leveraging its consumer platform approach and CPCU business model to capture market share.
Strategic Initiatives
The AdColony acquisition of strategic assets is highlighted as a significant competitive advantage, with the potential to activate 100,000 mobile app publishers and reach 500 million connected devices in Developed Markets. The company emphasizes its consumer-centric approach, integrating data intelligence and audience intelligence to deliver conversions across various connected devices. Affle’s verticalization strategy is proving effective, with strong performance in categories E, F, and H, and a steady recovery in category G (RMG).
Source: BSE
