AvenuesAI Ltd reported strong top-line growth with a 47% YoY increase in Q2 FY27 revenue to Rs 28,792.4 million. The company announced strategic equity stakes in Online PSB Loans and Ratnaafin Capital, while executing a 10:1 share consolidation. Despite a slight moderation in net take rates due to competitive pricing, management reaffirmed its full-year revenue guidance of Rs 11,000–13,000 crore.
AvenuesAI Reports Strong Q2 Growth and Strategic Portfolio Expansion
Revenue reached Rs 28,792.4 million in Q2, while H1 revenue climbed 71% to Rs 55,596.4 million.
Reader Takeaway: Robust top-line growth driven by market scaling, balanced against margin pressure from competitive pricing strategies.
What just happened
AvenuesAI Ltd has delivered a strong performance for the second quarter of FY27, headlined by a 47% year-on-year revenue jump. Beyond the financials, the company has undertaken significant corporate restructuring, including a 10:1 share consolidation and the forfeiture of 6,943,139 partly paid-up shares due to non-payment of call money. The company also adjusted its associate portfolio, as its stake in XDuce Corporation diluted to 19.75%, removing it from the associate category.
Why this matters
The company is aggressively building merchant scale. While CEO Vishwas Patel noted that deliberate competitive pricing impacted the net take rate by 4%, this is framed as a strategic investment to deepen market relationships. The acquisition of stakes in Online PSB Loans (7%) and Ratnaafin Capital (1.38%) signals a push to diversify its ecosystem and leverage synergies within the fintech and financial services space.
What changes now
Shareholders should note the record date of October 13, 2026, for the 10:1 equity share consolidation, which will change the face value of shares from Re 1 to Rs 10. The company has also converted over 1 million partly paid-up shares to fully paid-up, further cleaning up the capital structure.
Risks to watch
Investors must watch the net take rate closely. If the competitive pricing strategy fails to drive sufficient transaction volume growth, margin compression could persist. Additionally, any policy shift regarding the Merchant Discount Rate (MDR) for UPI remains a macro risk factor for the company's core payment processing business.
What to track next
Management has reaffirmed its FY27 consolidated revenue guidance of Rs 11,000 crore to Rs 13,000 crore. Future quarterly filings will reveal whether the current strategy of sacrificing short-term margins for long-term merchant acquisition successfully translates into bottom-line growth.