M2P Fintech’s road to rediscovery has hit a bump. The partnership with Unity was one such setback. Unity has formally exited the company. Unity was by far the bigger customer. The setback hits M2P hard as one of the top fintech players in India, after raising capital from venture capital firms at improved valuations last year.
Paytm has turned an operational profit for the first time. On a revenue of Rs 1,470 crore, the company reported a profit of Rs 122.5 crore. This first ever truly profitable quarter will hearten public investors. Paytm was hit hard by the Reserve Bank of India shutting down Paytm Payments Bank and forcing the company to discontinue Paytm wallets in early 2024. The company has been on a steady mend since that wipeout.
Out to list. Pine Labs is a hardware business pretending to be a fintech. Pine Labs was injected with vast amounts of VC money. The hope was that the hardware would trade for higher multiples. The core of the company is its POS machines. Pine Labs has a strong core of large retail chains. The company is trying to grow with new products and in new regions.
It is the first e-commerce company that the RBI has given permission to directly give loans. E-commerce giant Flipkart has secured an NBFC (non-banking financial company) licence from the Reserve Bank of India (RBI). Its group entity, Flipkart Finance Private Limited, was granted the approval and registered as an NBFC on March 13. This allows Flipkart to directly disburse loans, a higher margin play than just distributing loans for other lenders. Flipkart is also in the process of shifting its holding company from Singapore to India as a precursor to an IPO.
Digio, founded by Nithin Kamath and Abhimanyu Pandian, has “slowly and silently become the back-end infrastructure provider to several industries”. The software-as-a-service (SaaS) company offers a suite of tools built around reducing paperwork, including Know Your Customer (KYC) checks, document management, compliance monitoring, and financial information aggregation. It was an early player in the space and quickly onboarded most of the stockbrokers and e-signing players. What sets Digio apart is its all-round product, focusing on the “forefront of India’s paperless digital transformation”.
The down round will help stabilize the Kunal Shah-helmed fintech’s runway as it tackles headwinds in unsecured lending. CRED is close to announcing a deal to raise $75 million from existing investors, with the round being led by Singaporean sovereign wealth fund GIC. The deal values the company at $3.5 billion, a decrease from its $6.4 billion valuation in 2022. The company reported revenue of Rs 2,473 crore and a loss of Rs 1,644 crore in FY23-24.
The worst may be over for MobiKwik. The Gurugram-based fintech company ended the 2024–25 fiscal year with a loss of ₹121 crore, down from a profit of ₹14 crore in the previous year. Higher losses are a result of its risky lending business, which ran into trouble after the Reserve Bank of India’s nudge last year to slow down unsecured lending. The company has pivoted its focus to higher-ticket, longer-term loans. Its payments business remains strong, with non-UPI payments making up 68% of processed payments, up from 37%.
PB Fintech’s quarterly results were impressive, showing remarkable growth in revenue and a zoom in profits. However, the market’s reaction was subdued, and analysts are divided between buy and sell recommendations. Caution is needed because two of the leading products—Policybazaar and PaisaBazaar—yielded low margins. Furthermore, the credit business, especially unsecured lending, is slowing down following mandates from the Reserve Bank of India (RBI). Another risk is the potential for policy lapses leading to clawbacks on commissions already booked as revenue.
Paytm announced its results for the quarter ended March 2025, showing signs of recovery. Founder Vijay Shekhar Sharma teased a potential return for Paytm wallets, saying they “may be near a breakthrough or some resolution.” This is a significant hint for shareholders following the fintech company’s decline after the RBI restrictions on Paytm Payments Bank. The company is on track for profitability, with strong growth in financial services and merchant subscriptions.
