5paisa Capital Ltd reported a drop in key financial metrics for the quarter ended September 2025 (Q2FY26), even as client additions and funding book growth showed positive momentum.
Financial Performance
- Revenue: ₹77.17 crore, down 23.4% from ₹100.79 crore YoY.
- Net Profit: ₹9.48 crore, a decline of 57% from ₹21.90 crore.
- EBITDA: ₹22.96 crore, down 40% YoY, with EBITDA margins contracting to 29.8% from 38.2%.
The decline was attributed to market volatility and persistent foreign institutional investor (FII) selling, despite strong domestic institutional inflows. Average daily turnover (ADTO) in both cash and F&O segments fell during the quarter.
Client Acquisition and Funding Book Growth
- New Clients Added: 0.95 lakh, taking the total registered customer base to 50.1 lakh.
- 5paisa App: Crossed 22.7 million installs, maintaining a 4.2-star rating on Google Play Store.
- Client Funding Book: Expanded to ₹364 crore, driven by initiatives such as the new ‘Pay-Later’ option, competitive interest rates, broader security coverage, and flexible funding.
CEO Gaurav Seth highlighted that the company focused on quality acquisition, improving customer acquisition cost (CAC) and funding yield ratio (FYR), while surpassing the 5 million active customer milestone.
Corporate Development
5paisa Capital appointed Zor Gorelov as an Additional Independent Non-Executive Director. Gorelov currently serves as Senior Advisor at Klaros, leading AI strategy and supporting the adoption of next-generation AI technologies in banking and fintech regulation and compliance.
Summary
5paisa Capital’s Q2FY26 revenue and profits declined, with net profit down 57% YoY. However, the company reported healthy client additions, taking its base to 50.1 lakh, and expanded its client funding book to ₹364 crore. Strategic initiatives and product innovations, along with the appointment of AI expert Zor Gorelov, underscore the company’s focus on long-term growth despite short-term market pressures.
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