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Infibeam reports 20% net revenue growth in Q1 FY2025

Posted on by darion

Digital payments and enterprise software solutions provider Infibeam Avenues Limited reported consolidated net revenue of Rs 118.5 crores for the first quarter of fiscal year 2025 (Q1FY25) — ended June 30 — up 20% year-on-year (YoY). The company reported 59% YoY growth in profit after tax (PAT) at Rs 50.4 crores and 25% YoY growth in EBITDA at Rs 69.8 crores.

Infibeam also announced a significant investment by acquiring a 54% stake in Rediff.com, adding the Indian infotainment platform to its list of subsidiaries during a board meeting on August 2.

Key financial and operational indicators:

Total revenue or gross revenue: Infibeam reported a consolidated gross revenue of Rs 752.8 crores in Q1FY25, up 1% year-on-year. Of the total revenue for the quarter, the company’s payments and e-commerce segments contributed Rs 704.8 crores and Rs 47.98 crores, respectively.

Total expenses: The company’s total expenses during Q1 FY25 stood at Rs 702.73 crore, down 1.1 per cent over the expenses recorded in Q1 FY24. The bulk of the total expenses during the quarter were operating expenses at Rs 634.25 crore.

Segment results: Infibeam’s payments business posted higher profits compared to the e-commerce segment, contributing Rs 34.33 crores to the company’s total profit before tax. The e-commerce platform business contributed Rs 21.03 crores to the total profit before tax.

Growth in payment transactions and total payment volume (TPV): Infibeam reported a 67 per cent year-on-year growth in its Net Worth to Rs 197,700 crores in Q1 FY25, which contributed to the company’s growth during the quarter.

“The increase in TPV is largely due to the increased adoption of digital payments, as well as an increase in the company’s merchant base due to the increased use of its digital POS product, CCAvenue TapPay, among merchants,” the company said.

Acquisitions: In addition, the company acquired the remaining 26% stake in Infibeam Digital Entertainment Private Limited from its shareholders, obtaining 100% ownership of the acquired company. The Infibeam Group includes 17 other subsidiaries, mainly in the fintech and digital entertainment sectors.

Growing Seller Base: The company has been witnessing growth in its trading base, with over 10 million trading accounts registered by the end of fiscal year FY23-24, it said in a press release. As for Q1FY25, an average of over 2,550 trading accounts are being added to the company’s total trading base per day.

Expanding Infibeam’s AI Projects

Infibeam intends to boost its AI operations by investing more in AI operations, including the establishment of Phronetic.AI, an AI business division, as highlighted in a company press release. Phronetic.AI is expected to provide AI-enabled services to detect and prevent fraud.

The company has also signed a Memorandum of Understanding (MoU) with the Gujarat government for developing AI products for retailers and SMEs and has also signed another MoU with Entrepreneurship Development Institute of India – Gandhinagar to implement AI projects targeted at enterprises, startups and SMEs.

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