Never miss a great news story!
Get instant notifications from Economic Times
AllowNot now


You can switch off notifications anytime using browser settings.
12,008.30-10.1
Stock Analysis, IPO, Mutual Funds, Bonds & More

Seeing strong lending biz growth, MobiKwik targets Rs 1500 cr disbursement this fiscal

The company has already disbursed over one lakh "digital loans" in September this year.

PTI|
Updated: Nov 10, 2019, 11.01 PM IST
0Comments
Agencies
agenc

MobiKwik has increased its revenue at 100 per cent each for the last two years, while maintaining its sharp focus on profitability.

Digital payments company MobiKwik has witnessed strong growth in its lending business and aims to disburse loans worth Rs 1,500 crore in FY2020 through its platform.

The company, which competes with the likes of Paytm in the fintech space, has already disbursed over one lakh "digital loans" in September this year.

"We started our digital lending journey more than a year ago, and disbursed over 1,00,000 fully digital loans in September...We are well on track to disburse over Rs 1,500 crore across 1.2 million loans in FY2020," MobiKwik Co-founder and CEO Bipin Preet Singh told PTI.

He added that the company is working with leading financial institutions to create loan products that customers need in small packet sizes.

"We have been able to keep operating costs low by delivering the loan completely digitally...these loans range from Rs 2,000 to Rs 2 lakh," he said.

Singh noted that the platform has seen a three-fold growth in terms of the value (amount) of loans disbursed – from Rs 160.5 crore in the first half of FY19 to Rs 458.8 crore in the first half of the ongoing fiscal.

"There has been a 4X growth in terms of the volume (number) of loans disbursed as well, growing from 1.21 lakh loans in H1 of FY19 to 4.96 lakh loans in H1 of FY20," he added.

This growth is also driving the company's overall growth. MobiKwik's annualised gross revenue is about Rs 425 crore, and in the first half of FY20, over 120 million transactions took place on its platform - up 1.6 times year-on-year.

"MobiKwik has increased its revenue at 100 per cent each for the last two years, while maintaining its sharp focus on profitability... our business has been consistently contribution margin positive since October 2018," Singh said.

Also Read

Mobikwik appoints Goldman for fund-raise

PayU eyes MobiKwik’s payment gateway

Max Bupa in pact with MobiKwik for health insurance

MobiKwik fund transfer business grows 400%

Reliance Mutual Fund partners with MobiKwik to launch ‘Kwik Save’

Comments
Add Your Comments
Commenting feature is disabled in your country/region.
Download The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.

Other useful Links


Follow us on


Download et app


Copyright © 2019 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service