Zaggle Prepaid FY26 revenue jumps 46% to ₹1,908 cr

Key takeaway for investors

Zaggle Prepaid Ocean Services Ltd reported record annual and quarterly performance in FY26, led by strong growth across its Propel platform and program fee revenues. Consolidated revenue rose 46.3% year-on-year to ₹1,907.6 crore, while adjusted EBITDA increased 51.0% to ₹191.6 crore and profit after tax (PAT) climbed 51.8% to ₹138.8 crore. The company also outlined FY27 growth targets and flagged that a clearer EBITDA outlook will follow the Dice integration.

FY26 consolidated performance hits a new high

The headline FY26 numbers showed faster growth in profitability than revenue, indicating operating leverage even as the company continued investing in product and expansion. Consolidated adjusted EBITDA of ₹191.6 crore came on revenue of ₹1,907.6 crore, while consolidated PAT stood at ₹138.8 crore. Management described FY26 as a year of record annual and quarterly performance.

The Q4 FY26 performance added to that narrative, with consolidated revenue at ₹617.9 crore, up 49.9% year-on-year. Adjusted EBITDA for the quarter was ₹60.5 crore, up 62.4% year-on-year, while PAT rose 30.4% to ₹40.6 crore.

Standalone FY26 numbers remain close to consolidated

On a standalone basis, FY26 revenue reached ₹1,852.8 crore, up 42.2% year-on-year. Standalone adjusted EBITDA was ₹182.8 crore, up 46.8% year-on-year, and standalone PAT stood at ₹132.9 crore, up 51.9% year-on-year.

The relatively small gap between standalone and consolidated figures indicates that the core business continues to drive most of the financial performance reported for FY26.

Revenue mix: Propel dominates annual revenue

Zaggle’s revenue mix for the year was led by its Propel platform. The company stated that Propel contributed 57% of annual revenue, program fees contributed 41%, and platform fees accounted for 2%.

This split matters because it frames how the company’s growth is being delivered across business lines, and where margins and reinvestment needs could concentrate over time.

Quarterly and nine-month trajectory: strong growth, margin scrutiny

Management commentary and performance disclosures highlighted multiple strong quarters through FY26. For Q3 FY26, the company reported revenue of ₹498 crore, with adjusted EBITDA of ₹51 crore and PAT of ₹36 crore. It also reported a nine-month FY26 revenue figure of ₹1,260 crore, adjusted EBITDA of ₹128 crore, and PAT of ₹95 crore, stating that profitability had already surpassed the full-year FY25 level.

For Q2 FY26, the company reported revenue of ₹431.0 crore (₹4,309.8 million), EBITDA of ₹43.7 crore (₹437.3 million), and an EBITDA margin of 10.1%. It also reported half-year revenue of ₹762.5 crore (₹7,625 million) and an adjusted EBITDA margin of 10.0%.

Operationally, the company flagged that “other expenses” increased primarily due to higher sales and marketing costs aligned with growth. It also pointed to higher depreciation and amortisation due to capitalisation of technology and product development.

Working capital and cash flow: focus on improvement

The company highlighted cash PAT metrics and working capital commentary through FY26 updates. It reported cash PAT crossing ₹40 crore in Q2 FY26 and cited cash balances of around ₹573 crore as of 30 September (as mentioned in the Q2 update). It also stated that operating cash flow before taxes was negative ₹19 crore at that time.

In its commentary, the company said it was on track for working capital breakeven for FY26 and expects operating cash flow (OCF) to turn positive in FY27.

FY27 guidance: growth targets, EBITDA guidance after Dice integration

For FY27, the company projected standalone revenue growth of 25% to 30% and consolidated revenue growth of 40%. It also said EBITDA guidance would be provided after the Dice integration, while the near-term focus remains on cash flow improvement and margin expansion.

Separately, management commentary during FY26 updates noted that revenue growth guidance had been upgraded to 40% to 45% while EBITDA guidance remained 10% to 11%, reflecting confidence in momentum across business segments.

International expansion: MENA, UAE and the US on the map

The company said international expansion is a priority for MENA, the UAE, and the US, while also noting that the US launch has been delayed due to geopolitical uncertainty. This keeps near-term execution emphasis on domestic momentum even as overseas opportunities remain part of the strategic roadmap.

Stock and valuation context: strong results, cautious sentiment

The stock narrative in the provided material showed a mix of resilience and volatility. The stock logged a 2.25% weekly gain even as the Sensex declined, but also saw a sharp sell-off on the final trading day of that week, pointing to uncertainty.

Valuation metrics cited included a price of ₹304.80, market capitalisation of ₹3,924 crore, trailing P/E of 37x, EV/EBITDA of 25.40x, and EV/sales of 2.34x. The stock was stated to be down 35.15% from its 52-week high of ₹470 and trading 14.56% above its 52-week low of ₹266.05. Risk metrics cited included beta of 1.81 and annualised volatility of 44.54% versus the Sensex’s 11.44%.

Snapshot of reported metrics

Market metrics cited in the material

Why the FY26 update matters

FY26 results and the FY27 growth targets put the focus on three measurable themes: sustaining high revenue growth, translating scale into durable margins, and improving cash flow. The company’s commentary explicitly links near-term investment and higher operating costs to growth, while setting an expectation of OCF turning positive in FY27.

At the same time, the valuation metrics and volatility indicators cited in the material suggest investors are weighing growth delivery against premium multiples. The next set of signals likely to matter, based on the company’s own framing, include post-integration EBITDA guidance, evidence of cash flow improvement, and whether margins stabilise alongside continued growth.

Conclusion

Zaggle Prepaid’s FY26 numbers show record revenue and profitability, supported by a revenue mix led by the Propel platform and strong quarterly momentum. For FY27, the company has guided to 25% to 30% standalone revenue growth and 40% consolidated revenue growth, with EBITDA guidance to follow after the Dice integration. Investors are also tracking cash flow improvement targets and market sentiment indicators, as the stock’s valuation and volatility remain key parts of the debate.