PhonePe reported revenue of $234.3 million in the first nine months of 2022, the most valuable Indian fintech startup on record.
The nine-month financials show a jump from the $201.6 million the Bengaluru-headquartered company earned in the 12-month financial year ending March last year.
PhonePe, which is valued at $12 billion, will generate $325 million in calendar 2022 and $504 million in 2023, according to a valuation report prepared by auditing firm KPMG and submitted by PhonePe. The audit firm’s estimate is based on information provided by Fonpe management, the document said.
The Walmart-backed startup does not expect to turn EBIDTA positive until calendar year 2025, KMPG wrote in its valuation report. PhonePe’s financial and valuation report metrics have not been previously reported.
Image Credits: File Manager PhonePe
With a valuation of $12 billion, PhonePe is India’s most valuable fintech startup. The startup competes with Google Pay and Paytm. Paytm, which expects to reach $1 billion in revenue by March this year, is currently valued at $4.1 billion.
PhonePe is definitely the clear leader in the mobile payments market on UPI among Indian retail banks. UPI has become the most popular way for Indians to transact online, handling over 7 billion transactions per month. Seven-year-old PhonePe accounts for about 40% of these transactions.
A concern for PhonePe’s growth was Indian regulators enforcing market controls on each player, but the deadline for the new guidelines was extended last month and will now not come into effect until 2025, giving PhonePe another two years of fast growth.
