Opening Hook

While the rest of the fintech world was busy burning cash like it’s Diwali every day, One MobiKwik Systems Limited decided to set the stage with something bolder – a quarter that makes you wonder, “Are they finally making money, or is this just Excel sorcery?”

The management beamed about their “largest wallet” and “first truly pocket-sized UPI.” Traders, meanwhile, were busy checking if their own wallets were still intact after the last market dip.

Here’s what we decoded from this hour-long corporate therapy session they call a concall.

At a Glance

• Revenue rose 1.1% QoQ to ₹2,816 Mn – CFO swears it’s not just accounting magic.
• Contribution Margin shot up to 27.5% – apparently, margins on payments can grow faster than inflation.
• EBITDA loss narrowed to ₹312 Mn – progress? Or just a polite way to say “we’re still losing money.”
• PAT still negative at ₹419 Mn – management says “EBITDA breakeven imminent” (where have we heard that before?).
• Payments GMV exploded 53% YoY – because who doesn’t like swiping QR codes.
• Stock reaction? Traders screamed “growth!” and forgot about the red bottom line.

The Story So Far

Last quarter, MobiKwik promised the world it was on the edge of turning profitable. Spoiler alert: it’s still on that edge – waving at investors from the cliff.

Over the past year, they doubled down on payments, paused their risky ZIP lending product, and introduced innovations like Pocket UPI and FD-backed Rupay Credit Cards. They also bagged a stockbroking license because why not add more lines to the business card?

So here we are: Q1FY26, with growth numbers that make fintech rivals jealous, and losses that still remind everyone of the good old startup days.

Management’s Key Commentary

• On Growth:
  “We continue to see strong momentum across payments and credit.”
  – Translation: Users love spending, we’re still figuring out how to profit from it.
• On Costs:
  “Inflationary pressures remain, but we are optimizing.”
  – Sure, like my diet is “under control.”
• On Pocket UPI:
  “India’s first truly pocket-sized UPI will revolutionize payments.”
  – Investors quietly check: Does it also revolutionize profitability?
• On Credit Business:
  “Focus on longer-tenure ZIP EMI to improve margins.”
  – Which is fintech speak for: “We paused the risky stuff and hope banks like us again.”
• On Stockbroking License:
  “We’ll empower users to invest alongside spending and borrowing.”
  – Because nothing says diversification like letting wallet users trade stocks between recharges.
• On EBITDA Breakeven:
  “Losses have bottomed out; breakeven is around the corner.”
  – Corners have many sides. Let’s see which one they mean.

Numbers Decoded – What the Financials Whisper

Analyst Questions That Spilled the Tea

• Analyst: “When exactly will EBITDA turn positive?”
  Management: “Soon, very soon.”
  – Translation: Don’t hold your breath.
• Analyst: “How’s user acquisition cost trending?”
  Management: “Stable at ₹42, up from ₹32.”
  – Translation: Stable… if you ignore the spike.
• Analyst: “What’s the plan for lending products?”
  Management: “Focus on safer, longer-tenure loans.”
  – Translation: We’ve learned our lesson (maybe).

Guidance & Outlook – Crystal Ball Section

The management expects continued double-digit GMV growth, a steady increase in contribution margins, and the holy grail – EBITDA breakeven. They’re also banking on new revenue streams from Pocket UPI, AI-driven collections, and stockbroking.

Of course, they said this with the confidence of a student who hasn’t studied but believes the exam will be “easy.”

Risks & Red Flags

• Regulatory shocks – SEBI, RBI, or anyone else might just wake up.
• Credit risk – Zip EMI sounds safer, but defaults never take a holiday.
• Profitability delays – that corner they keep mentioning might be a roundabout.
• Competition – UPI is already a battlefield, and every player has deep pockets.

Market Reaction & Investor Sentiment

The stock tried to dance after hearing “growth” but stumbled when reminded of losses. Traders latched onto the words “breakeven soon” like it’s a new religion. Meanwhile, long-term investors kept their calculators ready.

EduInvesting Take – Our No-BS Analysis

MobiKwik is like that friend who’s always “almost there” – almost profitable, almost market leader, almost an investor’s dream. The payments business is scaling beautifully, margins are improving, and the stockbroking license adds a nice buzz.

But until losses turn to profits, this remains a hope trade. They’re on the right path, but the road is long, and competition is brutal.

If they pull off breakeven in the next few quarters, the stock might finally justify its hype. Until then – ride carefully.

Conclusion – The Final Roast

In short, this call was a cocktail of optimism, corporate jargon, and some spicy truths hidden between the slides. MobiKwik promises a revolution with Pocket UPI and improved margins, but investors have heard enough promises to last a lifetime.

Next quarter? It will be fun – if they can finally make green numbers dance on the screen.

Written by EduInvesting Team
Data sourced from: Company concall transcripts, investor presentations, and filings.

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