Zaggle Prepaid Ocean Services Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Zaggle Prepaid Ocean Services Ltd filed with BSE on 21 Aug 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
Zaggle reported Q1 FY27 consolidated revenue of Rs 423 crore, up 28% year-on-year, while adjusted EBITDA margin declined to around 8.2% from 10.1% a year earlier due to costs related to the DICE acquisition, capitalization policy changes, annual employee increments, and the Zagg.Money acquisition. Management said DICE-related revenue would only begin from Q2 FY27 even though associated costs were already recognized in Q1. The company also detailed performance across subsidiaries including 86400, GreenEdge, TaxSpanner, and Zagg.Money, and outlined a new investment in Unobanc and plans for an ADGM subsidiary in the UAE.
Numbers mentioned
Revenue: INR423 crores (Q1 FY27)
p. 3
“we sustained our top line momentum, delivering revenue of INR423 crores, a 28% year-on-year growth compared to Q1 FY26”
Raj Narayanam, page 3 of the filed PDF · View the filing
Adjusted EBITDA: around INR34.7 crores (Q1 FY27)
p. 3
“Our adjusted EBITDA stood at around INR34.7 crores, reflecting key strategic transitions that I will detail shortly.”
Raj Narayanam, page 3 of the filed PDF · View the filing
Stand-alone revenue: approximately INR390 crores (Q1 FY27)
p. 3
“Q1 FY27 revenue reached approximately INR390 crores, representing an 18% expansion over INR331 crores in Q1 FY26.”
Raj Narayanam, page 3 of the filed PDF · View the filing
Adjusted EBITDA margin: around 8.2% (Q1 FY27)
p. 4
“our adjusted EBITDA margin stands at around 8.2% as compared to 10.1% in Q1 FY26”
Raj Narayanam, page 4 of the filed PDF · View the filing
DICE acquisition cost: approximately INR68 crores, excluding GST
p. 5
“we have secured the complete spend management product suite and intellectual property, along with their entire enterprise and partnership contract portfolio for approximately INR68 crores, excluding GST, a significant INR55 crores optimization from the initial INR123 crores valuation.”
Raj Narayanam, page 5 of the filed PDF · View the filing
Zagg.Money card acquisition annualized run rate: around 84,000 cards
p. 6
“we have increased the annualized run rate by almost 2.3x to now reach around 84,000 cards in a short span of time.”
Raj Narayanam, page 6 of the filed PDF · View the filing
86400 revenue: INR22 crores (Q1 FY27)
p. 6
“Revenues grew from around INR17 crores in Q1 FY26 to INR22 crores in Q1 FY27, representing a Y-o-Y growth of 29%.”
Raj Narayanam, page 6 of the filed PDF · View the filing
86400 EBITDA: around INR8.8 crores (Q1 FY27)
p. 6
“EBITDA grew from around INR2.8 crores in Q1 FY26 to around INR8.8 crores in Q1 FY27, representing 400%”
Raj Narayanam, page 6 of the filed PDF · View the filing
GreenEdge revenue: around INR44 crores (Q1 FY27)
p. 6
“Revenues grew significantly at around 160% from INR17 crores to around INR44 crores in Q1 FY27.”
Raj Narayanam, page 6 of the filed PDF · View the filing
GreenEdge EBITDA: about INR4.3 crores (Q1 FY27)
p. 6
“EBITDA grew 66% from INR2.6 crores in Q1 FY26 to about INR4.3 crores in Q1 FY27.”
Raj Narayanam, page 6 of the filed PDF · View the filing
TaxSpanner revenue: INR80 lakhs (Q1 FY27)
p. 7
“Happy to share that TaxSpanner reported revenues of INR80 lakhs in Q1 FY27, marking a 65% increase over Q1 FY26.”
Raj Narayanam, page 7 of the filed PDF · View the filing
Active users on Zaggle platform: around 4 million
p. 8
“today around 4 million users actively use Zaggle powered cards and platform, software platform, a strong testament to the scalability and adoption of our platform.”
Avinash Godkhindi, page 8 of the filed PDF · View the filing
Customers served: more than 4,000
p. 8
“We now serve more than 4,000 customers across a wide spectrum of industries and sectors.”
Avinash Godkhindi, page 8 of the filed PDF · View the filing
SaaS platform fees: around INR12.5 crores (Q1 FY27)
p. 8
“the SaaS platform fees contributed around INR12.5 crores; program fees contributed around INR160 crores; Propel points contributed around INR251 crores.”
Avinash Godkhindi, page 8 of the filed PDF · View the filing
Cash back as percentage of program fees: 66.3% (Q1 FY27)
p. 11
“we saw cash back of 66.3% in Q1 FY27, which is a marginal increase to the cash back of 65.7% in Q1 FY26, but a significant drop from our Q4 FY26 where the cash back was closer to 69%.”
Avinash Godkhindi, page 11 of the filed PDF · View the filing
Propel points margin (consolidated): 7.1% (Q1 FY27)
p. 11
“we have reached a margin of 7.1% with heavy attribution to Greenedge higher margins.”
Avinash Godkhindi, page 11 of the filed PDF · View the filing
Fleet business transaction increase: 43% increase in total transactions (Q1 FY27 vs Q1 FY26)
p. 10
“we have seen a remarkable 43% increase in the total transactions, along with a resounding 5.8% increase in transaction value, which has reached an annualized spend rate of INR100 crores as of today.”
Avinash Godkhindi, page 10 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.
Consolidated revenue growth — 40% · FY27
stated firmly by Raj Narayanam
p. 12
“Our guidance was 40% on a consolidated basis, and we are not moving away from that guidance as yet.”
Raj Narayanam, page 12 of the filed PDF · View the filing
Stand-alone revenue growth — 25% range · FY27
stated firmly by Raj Narayanam
p. 16
“which we had projected that overall, it would be about in the 25% range is what we had projected for the stand-alone, and we still stand by that guidance that we would be able to grow to that number for the entire year.”
Raj Narayanam, page 16 of the filed PDF · View the filing
EBITDA margin — 14% to 15% · 5 to 7 years
stated as an aspiration by Raj Narayanam
p. 16
“what we have guided that 14% to 15% margin is over a period of 5 to 7 years. The measures which we are taking today are basically to moving the trajectory towards that margin of 14% to 15% over a period of 5, 7 years.”
Raj Narayanam, page 16 of the filed PDF · View the filing
Cash flow turnaround — positive operating cash flow · 16 to 18 months
stated conditionally by Raj Narayanam
p. 16
“It takes any cash flow, which has to be corrected from a negative cash flow to a positive cash flow would take about 16 to 18 months over a time -- that period, that kind of a period of time, okay?”
Raj Narayanam, page 16 of the filed PDF · View the filing
DICE integration completion — complete integration · by August 31st or max September 10th
stated firmly by Raj Narayanam
p. 14
“Last bit of integration, which is pending will get completed probably by August 31st or max September 10th.”
Raj Narayanam, page 14 of the filed PDF · View the filing
DICE contract novation completion — all contracts novated · Q3 FY27
stated conditionally by Raj Narayanam
p. 14
“it will pick -- it will -- the full pickup will happen from Q3 when we hope that by Q3, all the contracts would have novated.”
Raj Narayanam, page 14 of the filed PDF · View the filing
DICE revenue contribution — INR15 crores to INR16 crores · FY27
stated conditionally by Raj Narayanam
p. 18
“we expect that at least we are able to achieve anywhere between INR15 crores to INR16 crores this year, okay?”
Raj Narayanam, page 18 of the filed PDF · View the filing
Program fee growth — coming quarters
stated as an aspiration by Raj Narayanam
p. 15
“you would see a significant improvement in the coming quarters on the program fees.”
Raj Narayanam, page 15 of the filed PDF · View the filing
TaxSpanner breakeven — breakeven · this financial year
stated conditionally by Raj Narayanam
p. 7
“This performance keeps TaxSpanner well on target to breakeven this financial year..”
Raj Narayanam, page 7 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 attributed the slowdown to DICE revenue not yet flowing in and a deliberate shift of program fee volumes to banks with faster realization, while reaffirming the 40% consolidated guidance.
Answered by Raj Narayanam
Asked by Siva: Why has revenue growth slowed from the 40-50% range to 28%, and does the 40% guidance still hold?
p. 12
“Our guidance was 40% on a consolidated basis, and we are not moving away from that guidance as yet.”
Raj Narayanam, page 12 of the filed PDF · View the filing
Management said costs from DICE were absorbed in Q1 without corresponding revenue, and margins should improve once DICE revenue begins in Q2.
Answered by Raj Narayanam
Asked by Deepak Poddar: How should EBITDA margins be viewed going forward given DICE consolidation?
p. 13
“So we are hopeful that when revenue kicks in, margin should improve.”
Raj Narayanam, page 13 of the filed PDF · View the filing
Management said the shift is a gradual process toward expensing more costs, done in consultation with auditors, rather than a full policy change at once.
Answered by Raj Narayanam
Asked by Ankush Agrawal: What is the nature of expenses previously capitalized that are now being pushed to the P&L, and why selectively?
p. 14
“the policy is going to be that we expense more than we capitalize over a period of time.”
Raj Narayanam, page 14 of the filed PDF · View the filing
Management confirmed integration was mostly complete and expected payments-related revenue from DICE from Q3 onward.
Answered by Raj Narayanam
Asked by Anil Nahata: Has the technical integration of payment rails with DICE software been completed, and will Q3 show DICE-linked payment revenue?
p. 14
“100% without a doubt.”
Raj Narayanam, page 14 of the filed PDF · View the filing
Management said DICE revenue started from July 1 with full pickup expected by Q3 once all contracts are novated.
Answered by Raj Narayanam
Asked by Piyush Narang: When does DICE revenue start flowing, Q2 or Q3?
p. 14
“Actually revenue starts from by Q2, okay? So July 1st was the date. So -- and it has already started.”
Raj Narayanam, page 14 of the filed PDF · View the filing
Management said the 10% growth was by design due to a deliberate focus on cash flow and capitalization optimization, and expects improvement in coming quarters.
Answered by Raj Narayanam
Asked by Ankush Agrawal: How should program fee growth for the rest of the year be viewed given the slowdown to 10%?
p. 15
“the 10% growth is by design, and the growth should improve in the coming months -- in the months itself.”
Raj Narayanam, page 15 of the filed PDF · View the filing
Management said the standalone growth was 18% against a 25% full-year target, and said margin volatility reflects acquisition integration and would move toward 14-15% over 5-7 years.
Answered by Raj Narayanam
Asked by Abhi: What was the organic net revenue growth excluding GreenEdge and Zagg.Money, and when will EBITDA margin stabilize?
p. 16
“it is not -- we have been in the 9%, 10% range for the last 8 quarters, okay?”
Raj Narayanam, page 16 of the filed PDF · View the filing
Management said AI has already reduced internal costs and feature launch times, and expects the payback from AI-driven revenue to accelerate in coming quarters.
Answered by Raj Narayanam
Asked by Shivam Rathore: At what point does AI become a meaningful revenue driver rather than just a cost-efficiency tool?
p. 18
“the payback will become much, much faster in the coming months and quarters.”
Raj Narayanam, page 18 of the filed PDF · View the filing
Risks flagged
Geopolitical tailwinds affecting travel spend impacted program fee growth
p. 15
“There have been some geopolitical tailwinds, especially for travel as well, which has had an impact overall in terms of the spend.”
Avinash Godkhindi, page 15 of the filed PDF · View the filing
Cash flow turnaround from negative to positive takes an extended gestation period
p. 16
“It takes any cash flow, which has to be corrected from a negative cash flow to a positive cash flow would take about 16 to 18 months over a time -- that period, that kind of a period of time, okay?”
Raj Narayanam, page 16 of the filed PDF · View the filing
Losses incurred on Zagg.Money due to ongoing investments
p. 13
“we have lost, which is what we had earlier guided that about INR2.5 crores is what we have lost on Zagg.Money.”
Raj Narayanam, page 13 of the filed PDF · View the filing
Regional volatility in UAE market entry
p. 8
“While we remain mindful of regional volatility, our engagement with local government, banking and commercial partners has met with overwhelming interest.”
Raj Narayanam, page 8 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.