Prosus' PayU India posts first full-year operating profit in FY26
29 Jun 2026, 03:32 PMRevenue rose 13% to $781 million for the year ended March 31, 2026.
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Fintech firm PayU India, owned by Dutch technology investor Prosus, has posted its first full year of operating profit in the financial year ended March 31, 2026.
PayU India reported adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) of $18 million in FY26, compared to a $25 million loss a year ago, according to Prosus' annual report.
Revenue rose 13% to $781 million for the year ended March 31, 2026.
The company's adjusted earnings before interest and taxes (Ebit) loss narrowed to $10 million, from $49 million in FY25. During the year, PayU processed $90 billion in total payment value, with transactions increasing 49%.
PayU's payments business remained its largest segment, generating $577 million in revenue, accounting for 74% of the company's total revenue. Payments revenue grew 10%, or 6% in local currency excluding acquisitions.
Adjusted Ebitda for the payments business increased to $12 million, compared with $3 million in FY25.
Prosus attributed the improvement to a deliberate strategy of balancing faster-than-market payment processing growth while exiting loss-making portfolios.
Higher margin services are gaining traction, with VAS (value-added services) and SaaS (software-as-a-service) revenue contributed 33% of payments revenue, it noted.
The company also said its acquisition of Mindgate helped it build its own third-party application provider (TPAP) stack and person-to-merchant switch, aimed at improving transaction success rates and enabling new UPI-based merchant services.
Through Mindgate and Wibmo, PayU now helps banks process one in every two UPI transactions and three out of every four credit card transactions in India, according to Prosus.
PayU India's credit business also moved into the black during FY26.
Revenue from the segment increased 19% to $204 million, while adjusted Ebitda improved to $6 million, compared with a $28 million loss in the previous year. Excluding acquisitions and in local currency terms, credit revenue grew 26%.
Prosus said the business shifted to a partnership-led, digital-only model, reducing its net loss rate to 4%, down from 5% a year earlier.
Loan issuances reached $1.36 billion during FY26, while the outstanding loan book stood at $612 million at the end of March.
Last year, PayU secured all three payment aggregator licences in India -- online, offline and cross-border -- from the Reserve Bank of India (RBI).
In 2024, after the listing of another Indian portfolio firm Swiggy, Prosus had said that it was aiming to list PayU in 2025. However, the plan fell through and it was expecting its initial public offering (IPO) this year.
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