Pine Labs Limited announced its financial results for the second quarter of FY2027, reporting a robust 24% year-on-year growth in revenue and a 27% rise in adjusted EBITDA. The company highlighted strong execution across all business lines, including offline, issuing, and online segments, where it gained market share. Key drivers included expansion in mid-market segments and increased flow-based income, which grew by 25%.
Pine Labs Posts Strong Q2 FY27 Performance
Pine Labs Limited has reported impressive financial results for the second quarter of FY2027, demonstrating significant growth and market expansion. The company announced a 24% increase in revenue and a 27% rise in adjusted EBITDA on a year-on-year basis. This performance was driven by strong execution across all its business verticals, including offline, issuing, and online operations.
Market Share Gains and Segment Performance
A key highlight of the quarter was Pine Labs’ ability to grow faster than the market in each of its operating segments, leading to market share gains. The company detailed its performance across different areas:
- Offline Business: Pine Labs maintained 100% retention in its enterprise accounts, with strong net revenue retention. The company has successfully expanded its presence in the mid-market segment, deploying approximately 100,000 terminals in the last 12 months, acquiring new logos in segments like apparel, coffee shops, restaurants, and airports.
- Flow-Based Income: This segment saw a 25% year-on-year growth, with volumes increasing by nearly 50%, largely attributed to market share gains on the UPI side. New revenue streams from data-related and marketing services also contributed.
- Issuing Business: Significant growth was observed in both processing and the distribution of prepaid cards and gift cards, with market share gains. New use cases are being launched, including an employee tax benefit card expected by year-end.
- Online and Bill Payments: The top four Q-commerce companies are now using Pine Labs’ payment gateway. The company also secured a major biller, which is expected to go live in Q3.
International Expansion and Future Outlook
Pine Labs continues to expand its international footprint, with significant progress in the UAE, processing approximately 1 lakh transactions daily, and nearing 1 lakh POS deployments in Malaysia and 50,000 POS machines in the Philippines. The company is present in about 22 countries.
Looking ahead to H2, Pine Labs anticipates continued growth driven by its investments in sales expansion, including in international markets. The company expects further growth from gaming distribution, employee tax benefit cards, data services, and the expanding UPI opportunity. Management expressed confidence in exceeding the initial revenue growth target of 23-23.5% for the year.
Source: BSE
