MobiKwik reported a consolidated net profit of Rs 11.8 crore for Q2 FY27, marking its fourth consecutive profitable quarter. Strong growth in lending services and merchant payments drove the performance, though investors are tracking the financial impact of a past fraud incident.
Fintech company MobiKwik has recorded its highest-ever quarterly consolidated net profit of Rs 11.8 crore for the second quarter ending September 2026. This performance marks a significant turnaround from the same period last year when the company reported a loss of Rs 28.6 crore. Following the announcement of these results on November 2, 2026, the company’s stock saw a positive market reaction, surging nearly 10% as investors evaluated the improved earnings.
The company’s growth was primarily supported by its lending vertical and high transaction volumes. Lending disbursals rose 34% year-on-year to reach Rs 1,082.6 crore, crossing the Rs 1,000 crore mark for the quarter. This expansion in lending helped the financial services revenue grow by 42% to Rs 86.9 crore. Additionally, the company saw its Platform Gross Merchandise Value (GMV) hit a record high of Rs 59,677 crore, reflecting a 35% increase compared to the previous year. Operating revenue for the quarter stood at Rs 295.7 crore, up 9.4%.
Management has attributed a portion of this performance to an aggressive shift toward AI-driven infrastructure. The company reported that 92% of its codebase is now generated through AI, which has reportedly improved the speed of launching new products by 55%. This technological efficiency, combined with automated risk assessment tools, helped the company achieve a record EBITDA of Rs 22.7 crore, with margins improving to 7.5%. The gross margin in the payments business also widened, rising by 884 basis points to 38.2%.
While the financial results show clear improvement, the company is also managing legacy operational risks. The firm is currently working through the financial impact of a technical vulnerability incident from 2025 that allowed merchants and users to claim unauthorized settlements totaling Rs 40.4 crore. As of the latest update, the company has recovered Rs 27.6 crore and has set aside Rs 11.8 crore as an expected credit loss to account for the remaining exposure.
Looking ahead, the company is focusing on scaling its lending portfolio through its wholly-owned subsidiary, MobiKwik Distribution Services. Investors may continue to track how this transfer of lending operations affects finance costs, as the company works to manage interest expenses. With an RBI-approved NBFC license and in-principle approval for an offline payment aggregator, the firm is preparing for a broader expansion into merchant-focused financial services through FY28. The key monitorable for the coming quarters will be the company's ability to maintain these profit margins while scaling its loan book and managing the risks associated with credit and regulatory compliance.