Zaggle Q2 Profit Slips 30% YoY To ₹24.5 Cr Despite Revenue Uptick

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Zaggle’s net profit for the September quarter (Q2 FY27) plunged 30% to ₹24.5 Cr from ₹35 Cr in the year-ago period
Total expenses surged 39.9% to ₹555.7 Cr in the quarter under review from ₹397.1 Cr in the year-ago period
Operating revenue grew 34.2% YoY and 37% QoQ to ₹580 Cr in the quarter under review
Fintech SaaS company Zaggle’s net profit plunged 30% to ₹24.5 Cr in the second quarter (Q2) of the fiscal year 2026-27 (FY27) as against ₹35 Cr in the year-ago period. Sequentially, the company’s profit rose 40% from ₹17.5 Cr in Q1 FY27.
Operating revenue grew 34.2% YoY and 37% QoQ to ₹580 Cr in the quarter under review. In a statement, the company noted that its SaaS business recorded its “highest-ever quarterly performance”, largely driven by revenue recognition from novated contracts following the Dice acquisition.
Including other income of ₹6.3 Cr, Zaggle’s total income for the quarter stood at ₹586.2 Cr.
Meanwhile, total expenses surged 39.9% to ₹555.7 Cr in the quarter under review from ₹397.1 Cr in the year-ago period. The company also incurred a tax expense of ₹7.3 Cr during the quarter. It also incorporated a gain of ₹1.3 Cr from share of profit of an associate.
Zaggle also said that its adjusted EBITDA slipped marginally by 4.2% YoY to ₹44.6 Cr in the quarter under review, while its adjusted EBITDA margin shrunk 310 bps to 7.7%.
“On the business front, we witnessed strong traction in our loyalty and rewards segment, supported by increased festive season activity. This contributed to revenue growth across both Zaggle and Greenedge,” said Zaggle founder and executive chairman Raj P Narayanam.
Alongside the quarterly results, the company’s board has approved an allotment of 1.2 Lakh equity shares under its Zaggle Employee Stock Option Scheme 2022, having a face value of INR 1 each, as fully paid-up to certain “identified” employees.
The exercise price for 1,21,676 equity shares stood at ₹1 apiece, while the price for 828 allotted shares stood at ₹164 per share. Following the allotment, the total paid-up equity share capital of the company has increased to ₹13.45 Cr from ₹13.44 Cr earlier.
As per the stock’s last closing price, the newly allotted equity shares are worth nearly ₹ 2.12 Cr.
Founded in 2011, Zaggle is a spend management and corporate employee benefits platform. It helps businesses automate their accounts and issues prepaid cards, in partnership with banking partners, to reward their employees with incentives and gifts.
Zaggle claims to have built a network of over 4,236 corporate customers and 4.08 Mn users, with more than 50 Mn cards issued to date.
Shares of Zaggle ended Friday’s trading session 0.12% higher at ₹173.2 apiece on the BSE.

document fetched 2026-11-14 03:05 · canonical https://inc42.com/buzz/zaggle-q2-profit-slips-30-yoy-to-%e2%82%b924-5-cr-despite-revenue-uptick