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Fintech decacorn PhonePe has reported a 77% jump in its consolidated revenue to Rs 2,914 crore in FY23, compared to Rs 1,646 crore earned in FY22.

Boasting a UPI market share of 50.54% (in terms of total payments value) as of March, PhonePe India Pvt Ltd recorded an operating loss of Rs 1,755 crore in FY23 compared to Rs 1,612 crore the previous year.

On an adjusted basis (excluding ESOP expenses), the company reported earnings before interest, taxes, depreciation, and amortisation (EBITDA) positive at Rs 159 crore in FY23 compared to an operating loss of Rs 455 crore in FY22. 

“Substantial ESOPs were granted in FY23 towards the corporate restructuring and as one-time rewards for setting up and incentivising new business,” the company said in a statement. 

Almost 99% of PhonPe’s operating income comes from processing payment transactions, including revenue from use cases like money transfers, mobile recharges, and bill payments. 

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Further, the company credited its growth numbers to diversified revenue coming from non-payment businesses and new products, including smart speakers, rent payments, and insurance distribution. As of August 2023, the company deployed 4.1 million smart speakers. 

“We completed our full spin-off from Flipkart Group. Secondly, we moved our domicile to India from Singapore. Thirdly, we concluded an equity fundraising of Rs 7,021 crore at a $12 billion pre-money valuation. These actions enable us to invest in India for the long term and create a sustainable ecosystem and shareholder value in India. The fundraise equips us with the required capital to invest behind new businesses, which, in turn, will simultaneously grow and diversify our revenue and profit pools,” the company said in a statement. 

Moving forward, PhonePe is looking to scale up its multiple new businesses for “a well-diversified revenue portfolio and group-level profitability in the ensuing years.”