PhonePe, a prominent player in India’s fintech sector backed by Walmart, is embarking on the necessary steps to launch a public listing on the Indian stock exchanges. This move is seen as strategic, given the company’s impressive financial performance in the fiscal year 2023-24.
In its recent statement, PhonePe highlighted its strong financial growth as a key motivator for preparing a public offering. The company’s annual report for FY23-24 showcases a profitable year, marking the first time PhonePe has achieved profitability since its founding in 2016. With a consolidated profit of 1.97 billion rupees, excluding employee stock options, the company has turned around from a loss of 7.38 billion rupees the previous year.
PhonePe’s revenue surged by 74% over the reporting period, exceeding 50 billion rupees. Such a performance underscores the company’s potential value to investors as it gears up for the stock market. The fintech firm attributes this success to its broad business portfolio and operational efficiency.
While PhonePe has not specified a timeline for its Initial Public Offering (IPO), its strategic relocation of domicile from Singapore to India in 2022 indicates a clear intention to align more closely with the local market. As one of the most used apps in India for Unified Payments Interface (UPI) transactions, PhonePe commanded a 48.4% market share in January 2025. This positions it advantageously amid India’s continually evolving digital payment landscape.
Despite the recent downturn in the Indian stock market, which has affected investor sentiment, PhonePe remains undeterred. The company’s daily transaction volume exceeds 310 million, serving over 590 million registered users and 40 million merchants across the country. Such operational scale and user base provide a robust foundation for its upcoming public listing.
PhonePe’s competitive positioning is further highlighted by comparing its trajectory with that of its rival, Paytm. Paytm, which went public in 2021 with an IPO of 183 billion rupees, currently trades significantly lower than its initial offering price. This comparison accentuates PhonePe’s potential as it seeks to capitalize on the momentum in the fintech sector.
As PhonePe positions itself for a public listing, its financial resilience and market leadership shine as pivotal factors for potential investors. While market conditions pose challenges, PhonePe’s robust operational metrics and strategic market penetration suggest it is well-prepared to navigate the complexities of a public offering.
