Affle 3i Q3: Standalone Revenue Up 20%, PAT Soars 25%, But PBT Growth Lags

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AuthorAarav Shah|Published at:
Affle 3i Q3: Standalone Revenue Up 20%, PAT Soars 25%, But PBT Growth Lags
Overview

Affle 3i Limited's Q3 FY26 results show strong standalone revenue growth of 20.59% to INR 2,423 million and a 25.35% PAT surge to INR 367 million. Standalone PBT grew only 2.50%, indicating margin pressure. Consolidated revenue rose 19.25% YoY. A significant stake in Bobble™ is classified as held for sale. The auditor's report noted reliance on unreviewed subsidiary financials.

📉 The Financial Deep Dive

Affle 3i Limited (formerly Affle (India) Limited) has announced its unaudited standalone and consolidated financial results for the third quarter and nine months ended December 31, 2025.

The Numbers:

  • Standalone Basis:

    • Q3 FY26 Total Income: INR 2,422.98 million, a significant increase of +20.59% YoY.
    • Q3 FY26 PBT: INR 402.83 million, marking a +2.50% YoY growth. This indicates a substantial compression in operating profitability.
    • Q3 FY26 PAT: INR 366.77 million, a robust +25.35% YoY jump.
    • Q3 FY26 Basic EPS: INR 2.61, up +24.88% YoY.
    • Nine Months FY26 Revenue: INR 6,449.88 million (+22.42% YoY).
    • Nine Months FY26 PAT: INR 963.83 million (+13.85% YoY).
    • Nine Months FY26 Basic EPS: INR 6.87 (+13.74% YoY).

  • Consolidated Basis:

    • Q3 FY26 Total Income: INR 7,350.05 million, an increase of +19.25% YoY.
    • Q3 FY26 PBT: INR 1,461.24 million, up +18.10% YoY.
    • Q3 FY26 PAT: INR 1,193.24 million, a +19.05% YoY increase.
    • Q3 FY26 Basic EPS: INR 8.50, up +18.88% YoY.
    • Nine Months FY26 Revenue: INR 19,849.32 million (+19.28% YoY).
    • Nine Months FY26 PAT: INR 3,353.37 million (+20.27% YoY).
    • Nine Months FY26 Basic EPS: INR 23.90 (+20.16% YoY).

The Quality & The Grill:

The standalone PBT growth of 2.50% significantly lags behind the revenue growth of 20.59%. This disparity suggests that operating expenses (excluding taxes) grew at a faster pace, potentially impacting margins. While PAT shows strong growth, this is largely driven by the jump in net profit after tax, indicating that factors like tax benefits or other exceptional items might be at play.

A critical note from the auditor indicates that the financial results of four subsidiaries were reviewed by other auditors. However, for two subsidiaries deemed immaterial, the interim financial results were not reviewed, and the conclusion was based solely on unreviewed data provided by management. This raises questions about the full assurance on the consolidated financials.

Additionally, Affle 3i has classified its investment in Talent Unlimited Online Services Private Limited (“Bobble™) as held for sale, with a carrying value of INR 1,346.32 million for its 24.07% stake. This signifies a potential divestment or restructuring of this significant holding.

The company assessed the impact of India's notified Labour Codes and concluded it is not material for the current period.

🚩 Risks & Outlook

The primary risk highlighted is the auditor's qualification regarding the unreviewed financial results of two subsidiaries, which could cast a shadow over the consolidated figures. Investors should closely monitor the reasons behind the standalone PBT margin compression. The classification of the Bobble™ stake as held for sale will also be a key area to watch for potential capital allocation changes or strategic realignments in the coming quarters. The company provided no specific guidance numbers in the announcement.

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