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PhonePe reports ₹2,792 crore loss in FY26 despite 11.5% revenue growth

PhonePe posted a net loss of ₹2,792 crore in the financial year ended March 2026 (FY26), widening 62% from ₹1,727.4 crore in FY25, according to inc42.com.

PhonePe posted a net loss of ₹2,792 crore in the financial year ended March 2026 (FY26), widening 62% from ₹1,727.4 crore in FY25, according to inc42.com. The fintech company’s operating revenue grew 11.5% year-on-year to ₹7,920.5 crore, while total revenue including other income rose 10% to ₹8,387.9 crore in FY26.

The loss increase was driven by higher employee costs, elevated marketing expenses, ESOP charges, and one-time write-offs. PhonePe recorded a goodwill impairment of ₹684.7 crore related to its 2023 acquisition of Indus Appstore, which was classified as a pre-revenue cash generating unit. The company explained that strategic shifts and an evolving business environment led to the impairment. It also booked an exceptional gain of ₹434.5 crore from divestments.

PhonePe’s revenue was mainly from sale of services, contributing ₹7,618.6 crore during the year. The company earned ₹286 crore in incentives from the National Payments Corporation of India (NPCI) for deploying credit cards on UPI and payment acceptance devices. The widened losses despite revenue growth highlight challenges in balancing growth investments and profitability in India’s competitive fintech sector.

PhonePe’s audited financial statements for FY26 detail these figures and the impairment charge. The company is preparing for an initial public offering, with these financials providing insight into its current performance and strategic adjustments.

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