Pine Labs has posted a profit in Q1 FY26, marking a turnaround just ahead of its IPO
The company reported ₹4.8 crore in net earnings for the June quarter, compared to a loss in the same period last year
A tax credit of ₹9.6 crore supported the positive bottom line in the quarter
Pine Labs Swings to Profit on Tax Credit as IPO Countdown Begins
Pine Labs has posted its first quarterly profit just before its planned market debut, reporting ₹4.8 crore in earnings for Q1 FY26. The improvement comes after a loss in the same quarter last year, supported partly by a tax credit
Pine Labs CEO Amrish Rau and PayPal CEO Alex Chriss Amrish Rau LinkedIn
Summary
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Fintech major Pine Labs has turned profitable in the first quarter of the current fiscal year ahead of its public listing this month. The company has reported a net profit of ₹4.8 crore in the quarter ended in June 2025. However, the company incurred a loss of ₹27.9 crore in Q1 FY25.
It is pertinent to note that the company swung to green in Q1 FY26 on the back of tax credit of ₹9.6 crore. Pine Labs reported a loss of ₹4.8 crore during the quarter under review.
The company’s revenue from operations surged 18% to ₹615.9 crore in Q1 FY26 from ₹522.4 crore in the year-ago period. This includes other income of ₹37.1 crore, taking the total income to ₹653.1 crore during the same period.
In FY25, the company has significantly cut its net loss, bringing it down by 57% to ₹145.4 crore from ₹341.9 crore in FY24. Revenue from operations grew a robust 28% to ₹2,274.3 crore over the same period, compared to ₹1,769.5 crore a year earlier.
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Meanwhile, total expenses rose at a slower pace, up 9.2% to ₹2,426.9 crore in FY25 against ₹2,221.7 crore in the prior fiscal.
Pine Labs IPO
The fintech is gearing up to launch its initial public offering (IPO) on November 7, aiming to raise ₹2,080 crore through fresh issue of shares.
The company's maiden public offering would conclude on November 11. The bidding for anchor investors will open for a day on November 6, according to the red herring prospectus (RHP).
Apart from fresh issue, there would be an Offer for Sale (OFS) of up to 8.23 crore equity shares.
Under the OFS, Peak XV Partners, London-based Actis, PayPal, Mastercard Asia/Pacific, Temasek through Macritchie Investments, Invesco, Madison India Capital, MW XO Digital Finance Fund Holdco, Lone Cascade LP, Sofina Ventures SA, and Pine Labs cofounder Lokvir Kapoor will be divesting their shares in the fintech firm.
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Proceeds from the fresh issue will be used by the company to repay debut, investment in IT asset, expenditure towards cloud infrastructure, technology development initiatives, and procurement of digital checkout points.
The company will use funds for investment in its subsidiaries such as Qwikcilver Singapore, Pine Payment Solutions, Malaysia, and Pine Labs UAE for expanding the presence outside the country.
Noida-based Pine Labs is a technology company focused on digitizing commerce through digital payments and issuing solutions for merchants, consumer brands and enterprises, and financial institutions.
Its technology infrastructure supports digital transactions and payment processing in India as well as in a few international markets such as Malaysia, the UAE, Singapore, Australia, the US, and parts of Africa.
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