Affle 3i reported robust Q2 FY2026 results with a 19.1% year-over-year revenue growth, reaching INR 6,467 million. Key highlights include a focus on CPCU (Cost Per Converted User) business, expansion in India and global emerging markets, and the integration of AI-driven technologies like Niko and OpticksAI. The company is emphasizing innovation and measurable impact for advertisers, with a strong outlook for sustained growth.
Financial Performance
Affle 3i announced its Q2 FY2026 results, showcasing significant growth:
- Revenue: INR 6,467 million (19.1% y-o-y growth)
- EBITDA: INR 1,461 million (28.9% y-o-y growth)
- EBITDA Margin Expansion: 172 basis points y-o-y, resulting in 33.5%
- PAT: INR 1,105 million (20.1% y-o-y growth)
The company achieved its highest-ever quarterly revenue, EBITDA, PAT, and conversions. The CPCU business drove 109 million conversions at a rate of INR 58.0, earning CPCU revenue of INR 6,319 million.
Market Performance
India and Global Emerging Markets contributed 73.9% to revenue, growing by 20.0% y-o-y, supported by increased digital ad spending. Developed Markets grew by 16.8% y-o-y, contributing 26.1% to revenue, driven by customer engagements and new account additions.
AI and Technological Innovations
Affle 3i is deepening the role of AI across its systems, including the integration of Niko, a specialized AI agentic capability designed to automate and drive ROI-driven growth advertising for marketers across the iOS ecosystem. It complements OpticksAI, the GenAI-powered creative engine, enhancing AI automation and efficiency in mobile marketing.
Strategic Outlook
The company was granted two new patents in the US, expanding its IP portfolio to 16 granted patents. Affle 3i aims to continue delivering quality user conversions and measurable value for advertisers globally, focusing on its Affle 3i vision to deliver 10X decadal growth.
RMG Impact and Festive Season
The Real Money Gaming (RMG) issues had an impact, but it was offset by better early demand because of Diwali being early this time. Affle is fairly confident that it should have a reasonably good quarter in Q3 FY2026 given the pipeline of budgets for the festive quarter.
Source: BSE
