Mobikwik IPO: The Good and the Bad

Published: 11th Dec 2024

By: Value Research

The company

Mobikwik is among India’s leading digital payment and lending platforms. Its offerings include digital payments, lending services, and insurance distribution, with a particular focus on its flagship BNPL (buy now pay later) product Mobikwik ZIP. The company earned 60 per cent of its revenue from financial services in FY24.

IPO details

Post-IPO

Financial history

Key ratios

The good

The significant growth of Mobikwik's assets under administration (AUA) to Rs 6,693 crore (as of June 30, 2024) from Rs 324 crore in FY22 reflects the brand’s popularity among consumers. Nearly 90 per cent of Mobikwik ZIP users in Q1 FY25 were repeat customers.

The bad

The industry’s competitive intensity, the company’s rising customer acquisition costs and the resulting pressure on margins are key concerns. To read the risk factors in detail, head on to our story from the link below:

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