Affle India Reports Robust FY26 Growth Driven by AI and CPCU

Affle India has released its audited consolidated financial results for the year ended March 31, 2026, showcasing a robust revenue of INR 27,093 million, up 19.5% year-on-year. EBITDA for the full year surged by 26.3% to INR 6,101 million, highlighting the effectiveness of its AI-driven strategies.

Financial Highlights for FY26

Affle India announced its audited consolidated financial results for the fourth quarter and the full fiscal year ending March 31, 2026, showing significant year-on-year growth.

For the fourth quarter (Q4 FY2026), revenue increased by 20.3% to INR 7,244 million. EBITDA rose by 20.3% to INR 1,612 million, and Profit After Tax (PAT) grew 16.0% to INR 1,195 million.

The full fiscal year 2026 recorded revenue of INR 27,093 million, a 19.5% increase from the prior year. Full-year EBITDA climbed 26.3% to INR 6,101 million, with PAT up 19.1% to INR 4,549 million.

These results are supported by a substantial base of over 4 billion connected devices. Over the last five fiscal years (FY22-FY26), the company has demonstrated compound annual growth rates of 25.8% for revenue, 30.1% for EBITDA, and 25.5% for PAT.

Growth Drivers: AI and CPCU

Affle India's strong performance in the competitive ad-tech market is attributed to its AI-driven technology and its unique Cost Per Completed Action (CPCU) business model. These elements enable the company to deliver measurable return on investment (ROI) for clients.

Success stories with clients such as Instacart, Mytona, and Kissht highlight the platform's versatility across different industries and its effectiveness in driving results, which in turn fuels Affle India's financial growth. The company has consistently scaled its AI capabilities and CPCU model to enhance performance marketing and client outcomes.

Investor Outlook

The sustained growth demonstrated by Affle India positions it as a resilient player in the digital advertising sector. Based on its performance and the ongoing effectiveness of its AI and CPCU models, shareholders may anticipate continued expansion in revenue and profits. The company's strong Compound Annual Growth Rates (CAGRs) suggest potential for long-term value creation.

Risks to Watch

Deloitte, the company's auditor, raised concerns regarding accounting practices and revenue recognition at Affle's Malaysian subsidiary for FY21, prompting SEBI to seek clarifications. While this event predates the current FY26 results and was addressed by the company and auditor, ongoing transparency and robust financial reporting remain critical for market confidence.

Peer Comparison

While direct listed ad-tech peers in India are scarce, companies like Info Edge (India) Ltd. operate in related digital spaces. Info Edge operates prominent digital platforms in India, such as Naukri.com, which generate substantial revenue from advertising and listing fees.

Looking Ahead

Key areas to monitor include Affle India's continued client acquisition and success stories, alongside its strategic initiatives for market expansion into new geographies or service lines. Investors will be watching for sustained growth in EBITDA margins and PAT figures in future reporting periods. The company's development and adoption of new AI-driven features and advertising technologies will be crucial. Furthermore, global economic trends influencing advertising expenditure and any evolving regulatory landscape impacting the AdTech industry will be important factors.