PB Fintech reported a consolidated net loss of Rs 87.62 crore in Q3 FY23 from a net loss of Rs 298.02 crore in Q3 FY22.
Revenue from operations surged 66.1% year on year to Rs 610.09 crore in the quarter ended 31 December 2022
Pre-tax loss for the quarter stood at Rs 87.60 crore, lower than pre-tax loss of Rs 298 crore recorded in the corresponding period last year.
Total expenses rose 9.67% to Rs 766.38 crore in Q3 FY23 over Q3 FY22. Advertising and promotion expenses stood at Rs 298.51 crore (up 26.47% YoY) and network and internet expenses was at Rs 26.34 crore (up 43.78% YoY) during the quarter.
Core business adjusted EBITDA was at Rs 26 crore positive for the quarter (with credit business breaking even in December).
The fintech major's new initiatives generated a operating revenue of Rs 185 crore, up 3.7x YoY while the adjusted EBITDA loss was roughly the same in this quarter as compared to the same period last year.
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The company said, We are now at the run rate of approximately Rs 12,700 crore disbursal and 5.2 lac credit card issuance on an annualized basis.
PB Fintech stated that its lending business grew 57% YoY during the quarter and currently has a disbursal annualised run rate (ARR) of Rs 12,000 crore, with over 76% disbursals coming from its existing customers, demonstrating strong repeat behaviour. The lending business is transformed post COVID with strong margin focus and is now almost breakeven, it added.
Digitization is becoming significant in lending - currently led by credit cards where about 75% of cards issued in Q3 were end-to-end (E2E) digital. As the lending moves to more E2E digital, a digital marketplace with improving experience like ours would stand to benefit, the company said in a statement.
Paisabazaar had 3.5 million total transacting consumers on its platform, with over 33 million customers have accessed their credit scores on the platform. The company said that its credit business became adjusted EBITDA positive in December 2022, ahead of its expectation of Q4, FY23.
Policybazaar's insurance premium stood at Rs 3,028 crore in Q3 FY23, registering a growth of 70% as against Rs 1,781 crore reported in the same period last fiscal. The company's current ARR for insurance premium stands at over Rs 12,000 crore and its total transacting consumerswas at 13.4 million at December-end.
PB Fintech reiterated that it expects adjusted EBITDA positive by Q4 this year and delivering the first full year of positive PAT in 2023-24.
PB Fintech, the owner of Policybazaar and Paisabazaar platforms, is India's largest online platform for insurance and lending products.
Shares of PB Fintech advanced 2.43% to close at Rs 524 on Friday, 10 February 2023.
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