SUMMARY
- Pine Labs saw an increase in its operating revenue by 2.8% to reach Rs 1,317 crore in FY24.
- It saw a 15.8% increase in total expenses to Rs 1,624 crore in FY24.
- The firm reported a rise in losses, with losses tripling to Rs 187 crore in FY24.
Indian unit of Pine Labs, a merchant commerce and payment platform, saw an increase in its operating revenue by 2.8% to reach Rs 1,317 crore in FY24, up from Rs 1,281 crore in FY23 as per its financial statements from the Registrar of Companies.
Pine Labs, which is registered in Singapore, has yet to disclose its financial results for FY24 in that jurisdiction. Based on its previous year’s performance, it is anticipated that the parent company will report a revenue increase ofRs 400 crore or more, reaching over Rs 1,700 crore in the latest fiscal year.
Regarding its revenue streams in India, transaction processing and settlement were the primary sources of income, making up 61% of the total operating revenue, which saw a growth of 1.5% to Rs 805 crore in FY24. Additionally, income from digital services at petroleum outlets amounted to Rs 67 crore during the same period.
Pine Labs also offers services related to gifting, including through Qwikcilver, Pine Perks, and Google Wallet. This area of business saw a significant drop in revenue by 44.5%, to Rs 111 crore in FY24. The company’s revenue from the sale of devices, plastic cards, and other miscellaneous activities totaled Rs 1,384 crore in the last fiscal year, up from Rs 1,328 crore in FY23.
In terms of expenses, 38.5% of Pine Labs’ total spending went towards employee benefits, which saw a 3% increase to Rs 625 crore in FY24, including non-cash ESOP expenses of Rs 58 crore. Legal and professional fees were the next highest category of expenses. Other significant expenditures included materials, travel, advertising, e-commerce site listings, database communication, and maintenance, leading to a 15.8% increase in total expenses to Rs 1,624 crore in FY24.
The firm reported a rise in losses, with losses tripling to Rs 187 crore in FY24 compared to Rs 56 crore in FY23. Its ROCE and EBITDA margins were -7.87% and 10.55%, respectively. On a per-unit basis, Pine Labs spent Rs 1.23 to generate a rupee in revenue for FY24.
