At a GlanceAffle (India) Ltd, a mobile ad-tech platform, grew its revenue and profits at 40%+ CAGR over the past 5 years. But with ROCE falling, PE hitting 70x, and promoter stake declining — the only thing compounding faster than earnings might be investor expectations.
🧠 TL;DR (Too Lazy, Don’t Ratio)
- 🧾Salesup from ₹167 Cr (FY18) → ₹2,266 Cr (FY25) 📈
- 💰Net Profit: ₹28 Cr → ₹382 Cr (13x in 7 years)
- 📉ROCE: Slid from 108% (FY19) → 17% (FY25)
- 📲Platform Reach: 3.4+ Billion connected devices
- 👎No Dividend Ever(still a bachelor, never proposes)
- 📉Promoter stakedown from 59.9% → 55% in 2 yrs
- ⚠️Valuation: PE 70x, PB 9x – pure premium pricing
📦 Business Model: Ad Tech Meets Jugadu Engineering
Affle isn’t a typical SaaS
company. It’s an Indian-origin consumer intelligence platform that optimizes mobile ads bytargeting,engaging, andconvertingusers across 3.4B+ devices. It claims to reduce ad fraud and increase ROI – basically the Zomato Gold of programmatic advertising.
🔧 Core Offerings:
- Consumer Platform: Contextual advertising, re-targeting
- Predictive Analytics: AI/ML-based engagement engine
- Fraud Detection: Proprietary checks to detect click farms and bot traffic
- Post-acquisition analytics: To check if the download is worth the rupee
Their tech stack works like a stalker with good intentions: It knows what you want before you type it.
📊 Financials: Compounding, but at a Cost
| Metric | FY18 | FY20 | FY23 | FY25 |
|---|---|---|---|---|
| Revenue (₹ Cr) | 167 | 334 | 1,434 | 2,266 |
| Net Profit (₹ Cr) | 28 | 66 | 245 | 382 |
| OPM % | 27% | 26% | 20% | 21% |
| ROCE % | 108% | 39% | 20% | 17% |
| ROE % | — | 43% | 18% | 14% |
| EPS (₹) | 2.3 | 5.1 | 18.4 | 27.2 |
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