BankBazaar.com CEO Hopeful Of Breakeven In FY24, Aims To Initiate IPO Process Next Year

Fintech firm BankBazaar.com’s CEO Adhil Shetty expects the company to report a positive bottomline in this financial year. Banking on the new products including the co-branded credit cards on UPI, Shetty hopes to breakeven in this year.

According to a PTI report, the fintech CEO said that once they breakeven, the company will start preparing for listing and aim at filing the Draft Red Herring Prospectus (DRHP) for its Initia Public Offering (IPO) in the next fiscal year. 

Started as a loan comparison platform in 2008, BankBazaar.com is now primarily into issuing co-branded credit cards in association with banks. It expects to launch these credit cards on UPI soon, Shetty noted. He added that “This is going to accelerate revenue as demand for credit is high.” 

He further noted that “Targeted no-cost EMIs every month are going to add to topline”. The company expects to achieve revenue over Rs 250 crore with profit in the current financial year.

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The fintech reported a 51 per cent increase in its revenue in its first-quarter earnings(Q1) for the current fiscal year (FY24), crediting the increase to its co-branded credit cards and personal loans’ portfolio. It reported an audited revenue of Rs 159 crore for FY23, posting a growth of 66 per cent over the previous financial year and a 14 per cent burn in its Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA). EBITDA is often used by companies as an alternative to net income to better understand their finances. Crediting the growth in revenue and reduction in EBITDA burn, Shetty said the company managed to report an increased revenue of Rs 250 crore in Q1FY24, as per the report. 

He further added, “In a landscape where governance is critical, we are working on showcasing our dedication to transparency and financial responsibility as we look to an IPO in the coming year. Our proactive approach and focus on EBITDA allows us to maintain our strong position in the market and instills confidence in our stakeholders.”