Pine Labs’ India entity reported a nearly flat growth in its revenue for the financial year 2023-24, while its losses spiked more than three times over last fiscal, as the growth in expenses was higher than that of sales. However, Pine Labs’ core operations are still based in Singapore, whose financials are not filed yet.
According to its annual filings sourced via Private Circle, revenue from operations for its India entity rose 2.8% year-on-year to Rs 1,317 crore in FY24 from Rs 1,281 crore in FY23. Losses during the year stood at Rs 187 crore compared to Rs 56 crore in FY23.
Losses were mostly because of a 16% rise in total expenses to Rs 1,624 crore, primarily due to a rise in depreciation costs, employee-related costs and impairment charges. Impairment losses on trade receivables rose 26% to Rs 537 crore in FY24, while depreciation and amortisation expenses were up 37% to Rs 327 crore.
The company earns the majority of its revenue from transaction processing and settlement fees. In FY24, it contributed Rs 805 crore, which is 61% of the total revenue. The company also earns from sale of POS device, plastic cards and gifting solutions through Qwikcilver and Pine Perks.
Pine Labs recently received the approval to relocate its domicile to India and it is in the process of doing so, while it also looks to merge its entities in India and Singapore. It has also been looking to go public for sometime now, but has not announced any official timeline.
From: financialexpress
Financial News