MobiKwik narrows losses in Q2 as EBITDA jumps 80% on cost control

Gurugram-based fintech firm, MobiKwik reported a sharp improvement in its operating performance for the September quarter (Q2 FY26), with EBITDA rising 80% quarter-on-quarter to ₹24.8 crore, supported by tighter cost discipline and a rebound in its lending arm. The company’s operating loss narrowed to ₹6.4 crore, putting it closer to breakeven.

Total income for the quarter stood at ₹279.3 crore, almost flat sequentially, but contribution profit rose 24% QoQ to ₹96.1 crore, aided by a 10% drop in direct costs and a 5.7% reduction in fixed costs. The company said it maintained a strong foothold on cost efficiency, leading to steady margin expansion.

“Our performance this quarter reflects the strength of our business fundamentals and focus on sustainable profitability,” said Upasana Taku, chairperson, executive director, and CFO of MobiKwik. “The growth in contribution profit and improvement in EBITDA is a result of disciplined cost optimization and steady gains across both payments and lending. As India’s leading fintech, we are now gearing up to accelerate our play in UPI and digital lending to drive the next phase of our growth,” she added.

Payments business drives gains

The company’s payments business delivered its highest-ever quarterly Gross Merchandise Value (GMV) of ₹4.32 lakh crore, up 13% sequentially and 53% year-on-year, driven by higher user engagement and merchant transactions. Payments revenue rose 11% YoY, supported by increased monetization.

MobiKwik maintained its position as India’s No.1 PPI Wallet and among the top three fastest-growing UPI apps, with UPI transactions rising 3.5x YoY. The gross margin in the payments segment hit 29%, the highest in the industry, up 71% YoY, due to a reduction in payment gateway costs.

Lending sees a sharp turnaround

The company’s digital lending arm, ZIP EMI, reported a 16% QoQ rise in GMV to ₹807 crore, with gross profit surging 231% QoQ. Financial services margins recovered strongly, with gross margin rising to 42%. Lending-related expenses dropped to 4.4% of GMV from 7.3% last quarter, thanks to improved risk management and sharper cost control.

Together, these metrics signal a more sustainable lending model, which the company says is edging it closer to profitability.

MobiKwik serves 183.5 million users and 4.7 million merchants, and holds a 19% share of India’s prepaid wallet market by transaction value as of September 2025.