Pine Labs Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Pine Labs Ltd filed with BSE on 01 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Pine Labs reported Q4 and full year FY2026 results with revenue growth of about 19%, adjusted EBITDA rising to roughly Rs.559 crore from Rs.357 crore, and PAT of about Rs.113 crore for the year. Management said operating cash flow was about Rs.676 crore in Q4 and about Rs.395 crore for the full year. For FY2027, management guided to revenue growth of 21% to 23.5% and discussed drivers including the online business, international markets, affordability, and the OMC petroleum contracts.
Numbers mentioned
Revenue growth: 19% (FY2026)
p. 5
“We came in with about 19% growth on the revenue side.”
Amrish Rau, page 5 of the filed PDF · View the filing
Adjusted EBITDA: Rs.559 Crores (FY2026)
p. 5
“On an adjusted EBITDA side, from somewhere around Rs.357 Crores of adjusted EBITDA, we have now delivered about Rs.559 Crores on adjusted EBITDA.”
Amrish Rau, page 5 of the filed PDF · View the filing
EBITDA margin improvement: ~500 basis points (FY2026)
p. 5
“We made almost about 500 basis points improvement on the EBITDA margin side.”
Amrish Rau, page 5 of the filed PDF · View the filing
PAT: Rs.113 Crores (FY2026)
p. 5
“we delivered about Rs.113 Crores as far as PAT is concerned.”
Amrish Rau, page 5 of the filed PDF · View the filing
Operating cash flow: Rs.676 Crores (Q4 FY2026)
p. 5
“I am glad to say that we delivered almost about Rs.676 Crores of cash flow in Q4 only.”
Amrish Rau, page 5 of the filed PDF · View the filing
Operating cash flow: Rs.395 Crores (FY2026)
p. 5
“we came in at about Rs.395 Crores of operating cash flow.”
Amrish Rau, page 5 of the filed PDF · View the filing
Payment volume (GTV): $200 billion (FY2026)
p. 6
“As I mentioned to you on a full year basis, we came in almost close to about $200 billion of payment volume.”
Amrish Rau, page 6 of the filed PDF · View the filing
Touch points: 2 million
p. 4
“we have now reached almost about 2 million touch points that we operate in.”
Amrish Rau, page 4 of the filed PDF · View the filing
Online business growth: 60% (year-on-year)
p. 6
“We have actually now grown that business almost by 60% on a year-on-year basis.”
Amrish Rau, page 6 of the filed PDF · View the filing
AI-generated new code: 89% (last two quarters)
p. 8
“almost 89% of all new code, which has been written within Pine Labs over the last two quarters has been completely AI generated.”
Amrish Rau, page 8 of the filed PDF · View the filing
Cash on balance sheet: Rs.2700 Crores
p. 22
“we have Rs.2700 Crores of cash.”
Sameer Kamath, page 22 of the filed PDF · View the filing
Capex: Rs.238 Crores (operating cash flow basis)
p. 12
“So on the operating cash flow basis you see Rs.238 Crores but adjusted for certain opening payouts which is there the run rate of capex is about Rs.180 Crores to Rs.190 Crores which remains.”
Sameer Kamath, page 12 of the filed PDF · View the filing
Contribution margin: 73% to 74% (Q4 FY2026)
p. 13
“At a contribution margin level, we came in at about 73% to 74% in Q4 on a full year basis.”
Sameer Kamath, page 13 of the filed PDF · View the filing
Contribution margin: 74% to 75% (FY2026)
p. 13
“I think we would have come in at about 74% to 75% on a full year basis.”
Sameer Kamath, page 13 of the filed PDF · View the filing
OMC terminals deployed: 50,000
p. 23
“Vijit, it is 50,000 pumps and it is about 130,000 POS machines out there.”
Amrish Rau, page 23 of the filed PDF · View the filing
Extra power loyalty contract value: Rs.60 Crores to Rs.65 Crores (5-year period)
p. 25
“Purely in terms of managing this, it is Rs.60 Crores to Rs.65 Crores kind of a revenue business for a five-year period, where we are basically taking over the loyalty program out there.”
Amrish Rau, page 25 of the filed PDF · View the filing
Non-electronics affordability growth: 60% (full year)
p. 27
“No, I think what is guided is that the full year number is 60%.”
Sameer Kamath, page 27 of the filed PDF · View the filing
International gift card business growth: 44%
p. 26
“In the international market also which is growing at 44% for us as we have shown in the presentation”
Sameer Kamath, page 26 of the filed PDF · View the filing
POS activation ratio: 30% (current, up from 21% a year back)
p. 20
“A year back, that number of POS machines activated for flow and transaction, this includes all kinds of services, we are at 21%. That has improved to 30%”
Sameer Kamath, page 20 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Revenue growth — 21% to 23.5% · FY2027
stated firmly by Amrish Rau
p. 5
“We think we will be able to grow at about 21% to 23.5% on a year-on-year basis as far as revenue is concerned.”
Amrish Rau, page 5 of the filed PDF · View the filing
Adjusted EBITDA — FY2027
stated as an aspiration by Amrish Rau
p. 5
“we definitely feel confident that we will be able to significantly improve our adjusted EBITDA going into FY2027”
Amrish Rau, page 5 of the filed PDF · View the filing
Operating cash flow — FY2027
stated as an aspiration by Amrish Rau
p. 6
“We feel confident that we will improve on the cash flow in FY2027 in a very significant manner.”
Amrish Rau, page 6 of the filed PDF · View the filing
Contribution margin conversion to adjusted EBITDA — 55%
stated firmly by Amrish Rau
p. 19
“55 it is a number that we feel super confident that we will not be able to miss.”
Amrish Rau, page 19 of the filed PDF · View the filing
Q1 FY2027 revenue growth — lower end of 21% to 23.5% guidance · Q1 FY2027
stated firmly by Amrish Rau
p. 10
“we do think that Q1, which is the weakest quarter for us on a full year basis, we will still get to see the lower end of the guidance play through in Q1 itself”
Amrish Rau, page 10 of the filed PDF · View the filing
Infrastructure business growth improvement — 2% to 3% improvement · FY2027
stated conditionally by Amrish Rau
p. 19
“we are getting to see that there will be at least 2% to 3% improvement on growth when it comes to infrastructure business”
Amrish Rau, page 19 of the filed PDF · View the filing
Contribution margin variance — 2% to 3% variance · FY2027-FY2028
stated conditionally by Amrish Rau
p. 16
“I think you should assume a variance of 2% to 3%.”
Amrish Rau, page 16 of the filed PDF · View the filing
Fundraising — no fundraise planned
stated firmly by Amrish Rau
p. 22
“No, we have no interest in raising funds.”
Amrish Rau, page 22 of the filed PDF · View the filing
ESOP issuance price — at or near FMV
stated firmly by Amrish Rau
p. 22
“We have taken a policy where we are going to issue out ESOPs today in the range of where the current FMV is.”
Amrish Rau, page 22 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said it feels confident on the guidance and expects the lower end in Q1 with improvement in subsequent quarters.
Answered by Amrish Rau
Asked by Jayant Kharote: Given two months into the quarter, how confident is management on the 21-23.5% guidance and will growth be even across quarters?
p. 9
“We feel very confident about the hard guidance that we have given of 21% to 23.5%.”
Amrish Rau, page 9 of the filed PDF · View the filing
Management attributed softness to Middle East bank decision-making and a chip shortage causing a backlog of POS machine deployments, saying the issue is now resolved.
Answered by Amrish Rau
Asked by Jayant Kharote: What was softer in Q4 and how does it change in Q1?
p. 10
“There was a time in Q4 where we had a backlog running of almost 2 lakh POS machines which we had to deploy in the market and which got delayed so that between Q4 and Q1.”
Amrish Rau, page 10 of the filed PDF · View the filing
CFO explained the capex split between DCP run rate and older payments; Amrish said contribution margin should stay broadly stable with a possible 2-3% variance from business mix.
Answered by Sameer Kamath
Asked by Pranuj Shah: Can you break down the Rs.238 crore capex and outlook on contribution margin trend?
p. 12
“So when you see Rs.238 Crores about Rs.160 Crores to Rs.170 Crores pertains to DCPs which is more or less on the run rate that we have been done.”
Sameer Kamath, page 12 of the filed PDF · View the filing
Management said some banks are pulling back subvention on mature categories while new categories like EVs are seeing traction, and the company is adding NBFC partnerships and consumer fintech tie-ups to sustain growth.
Answered by Amrish Rau
Asked by Prakhar Sharma: What are the trends in the affordability business given credit card players pulling back on offers?
p. 15
“One sector which I can give you a very immediate guidance is around what is happening in terms of EVs.”
Amrish Rau, page 15 of the filed PDF · View the filing
Management said the guidance excludes inorganic boosters and that Shopflo's revenue impact is small relative to the overall business.
Answered by Amrish Rau
Asked by Prakhar Sharma: Does the growth guidance include any inorganic contribution from the Shopflo acquisition?
p. 17
“No, it does not. It does not include any inorganic boosters to our numbers right now.”
Amrish Rau, page 17 of the filed PDF · View the filing
Management pointed to infrastructure business improvement of 2-3%, sustained flow-based revenue growth including affordability and data services, and international market expansion.
Answered by Amrish Rau
Asked by Gaurav Rateria: Which revenue pools will accelerate to bridge the gap between 19% and the 21-23.5% guidance?
p. 19
“we are getting to see that there will be at least 2% to 3% improvement on growth when it comes to infrastructure business”
Amrish Rau, page 19 of the filed PDF · View the filing
Management said the flow business blended take rate reflects a mix of revenue lines, not affordability specifically, and that affordability take rates remain strong; bill discounting is an ongoing program, not one-off.
Answered by Sameer Kamath
Asked by Aryan Tripathi: Is the lower take rate and shortened working capital cycle in the affordability business the new normal?
p. 29
“Our affordability take rates continue to remain extremely strong.”
Sameer Kamath, page 29 of the filed PDF · View the filing
Management estimated the OMC deal contributes roughly 30-40 basis points to growth, part of a broader 2-3% incremental growth from several initiatives.
Answered by Amrish Rau
Asked by Vijit Jain: How much of the growth acceleration to the 22% midpoint is coming from the OMC deal?
p. 25
“I am just doing a quick, I would say almost like 30 to 40 basis points would be because of this deal that we have already bagged.”
Amrish Rau, page 25 of the filed PDF · View the filing
Management confirmed there is room to increase monetization as GTV-linked revenue cohorts grow within flow and affordability businesses.
Answered by Sameer Kamath
Asked by Arvind Arora: GDV growth is around 50% while revenue growth is 19% - is there headroom to increase monetization?
p. 31
“Now we are getting to monetize GTV.”
Sameer Kamath, page 31 of the filed PDF · View the filing
Risks flagged
Chip shortage causing delays in POS machine deployment
p. 10
“There was a time in Q4 where we had a backlog running of almost 2 lakh POS machines which we had to deploy in the market and which got delayed so that between Q4 and Q1.”
Amrish Rau, page 10 of the filed PDF · View the filing
Softness in decision-making from Middle East banks and financial institutions
p. 10
“So there was clearly an impact that we saw when it came to decision making from some of these Middle Eastern banks and financial institutions”
Amrish Rau, page 10 of the filed PDF · View the filing
Softness in the airline part of the business affecting DCC-related revenues due to travel restrictions
p. 29
“There are other things like UPI, there is DCC, etc., some of which was slightly impacted because of travel restrictions, etc.”
Sameer Kamath, page 29 of the filed PDF · View the filing
Consumer durables consumption slowdown affecting affordability solution uptake
p. 15
“obviously what we are getting to see is if the consumer durables takeoff in the market is lower, affordability solutions takeoff also gets slightly lower.”
Amrish Rau, page 15 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.