Q2 earnings: Pine Labs posts ₹5.97 crore net profit, revenue up 18%

Don't want to miss the best from Business Standard?

Fintech firm Pine Labs reported a consolidated net profit of Rs 5.97 crore in the second quarter of financial year 2025-26 (Q2 FY26), as compared to a loss of Rs 32.01 crore in Q2 FY25.

 

Sequentially, the company’s net profit grew 24.63 per cent from Rs 4.79 crore in Q1 FY26.

 

The company’s revenue from operations grew 17.82 per cent to Rs 649.9 crore in Q2 FY26 from Rs 551.57 crore in Q2 FY25.

 

On a quarterly basis, revenue from operations grew 5.51 per cent from Rs 615.91 crore in Q1 FY26.

 

“The first half of this year is behind us, and both quarters have been record-breaking in our history. First, we turned clean PAT (profit after tax) positive in Q1, and we have now followed it up with a Q2 that is again PAT positive. This is not a one-off event; we believe it is the result of the solid hard work we have been putting in over the last many months,” said B Amrish Rau, managing director (MD) and chief executive officer (CEO), Pine Labs, in a letter to investors.

 

Rau detailed the firm’s reasons for achieving a positive quarter such as low attrition and wage bill management, a drop in capex and depreciation intensity, higher scale in value-added transactions, among others.

 

Each quarter, the company will showcase at least two product demos during the earnings calls, he added.

 

Pine Labs crossed a cumulative one million merchants in Q2 FY26.

 

The company attributed the rise in operational revenue to the growth of issuing business, affordability and online payments businesses, which “continue to outpace growth in the in-store payments business”.

 

“Q3 typically delivers the highest revenue for our business due to festive seasonality. Q2 FY26—despite being a non-seasonal quarter—delivered 8% higher revenue over the peak of the previous FY (Q3 FY25),” the company said.

 

Pine Labs’ other income, which may include interest or dividend income, or any other non-core revenue, was recorded at Rs 23.01 crore in Q2 FY26 as compared to Rs 21.96 crore in Q2 FY25. In Q1 FY26, the firm recorded Rs 37.17 crore as other income.

 

Its expenses grew 8.14 per cent to Rs 661.68 crore in Q2 FY26 as compared to Rs 611.83 crore in Q2 FY26. Sequentially, expenses remained nearly flat at Rs 657.86 crore in Q1 FY26.