AvenuesAI delivered a robust start to FY27, with consolidated gross revenue from operations surging 109% year-on-year to ₹26,804 million for the quarter ended June 30, 2026. This growth was underpinned by a 74% increase in transaction processing value (TPV), which reached ₹1.48 trillion. Profit after tax (PAT) rose 45% to ₹848 million, while EBITDA excluding other income grew 41% to ₹1,000 million. However, net revenue declined marginally by 3% to ₹147 million, reflecting take rate compression as the company prioritizes volume growth and strategic investments in AI and international markets.

The Board of Directors, meeting on August 11, 2026, approved the unaudited standalone and consolidated financial results, reviewed by statutory auditors Shah & Taparia Chartered Accountants under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Beyond financials, the Board sanctioned the amalgamation of Nueromind Technologies Private Limited into AvenuesAI, a variation in the objects of its previous rights issue, and the consolidation of equity shares.

Financial Performance

Consolidated gross revenue from operations more than doubled compared to ₹12,802.1 million in Q1FY26. The Payment Business segment contributed ₹26,259.4 million, while the E-Commerce Platform Business added ₹544.6 million. Management highlighted that while gross revenue surged, net revenue fell slightly due to competitive pressures and lower take rates. Despite this, absolute profitability improved significantly, with EBITDA margins expanding to 68% of net revenue from 47% a year ago. Basic earnings per share (EPS) for continuing operations were ₹0.24, compared to ₹0.21 in Q1FY26.

Standalone revenue from operations reached ₹25,333.8 million, up from ₹11,560.1 million in Q1FY26. Standalone PAT was ₹254.4 million, compared to ₹437.0 million in the same quarter last year, which included significant profits from discontinued operations related to the transfer of the Platform Business Undertaking to Rediff.com India Limited.

Strategic Corporate Actions

The Board approved a Scheme of Amalgamation under Sections 230 to 232 of the Companies Act, 2013, to merge Nueromind Technologies Private Limited, a wholly-owned subsidiary focused on AI and machine learning, into AvenuesAI. This move aims to simplify the group structure and integrate AI capabilities directly into the parent company’s core businesses. Consequently, the Board also approved a variation in the objects of the rights issue issued in June 2025. Instead of investing through Nueromind, the company will directly undertake advanced technology development and AI software activities using the unutilized proceeds of ₹28,455.59 million.

Additionally, the Board proposed consolidating ten equity shares of ₹1 face value into one equity share of ₹10 face value. This capital restructuring is intended to rationalize the share capital structure without altering the underlying economic value or proportionate shareholding of investors. The consolidation requires shareholder approval at the upcoming Annual General Meeting.

Investment Update

In a separate development, the Board increased its investment limit in Ratnaafin Capital Private Limited from an amount not exceeding ₹66.00 crore to not exceeding ₹70.00 crore for acquiring not exceeding 2.50% stake of Post issue capital. The transaction is not a related party transaction and is expected to be completed on or before March 31, 2027. Furthermore, AvenuesAI approved a strategic investment to acquire a 7% minority stake in Online PSB Loans (OPL), operator of India's largest public-sector-backed digital credit platform, to enhance digital credit access for underserved segments.

Strategic Priorities and Outlook

Management outlined three key priorities for FY27: unlocking the value of Rediff.com by integrating it with payments and AI capabilities, expanding CCAvenue’s payment gateway business into the United States, and building the proprietary AvenuesAI Transaction Intelligence Score (TISco). TISco is designed to analyze transaction behavior and merchant activity to provide dynamic assessments for risk, fraud detection, and credit intelligence.

Chairman and Managing Director Vishal Mehta emphasized that the company is shifting from building transaction infrastructure to leveraging embedded intelligence for new products. CEO Vishwas Patel highlighted the disciplined execution strategy, noting that the company expects FY27 EPS to range between ₹8.75 and ₹9.50 per share, based on the post-consolidation face value. CFO Sunil Bhagat stated that the cost base remains front-loaded as the company invests in AI infrastructure and international expansion, aiming for a structurally stronger margin profile through FY27 and FY28.

What the Numbers Show

The divergence between the 109% gross revenue growth and the 3% decline in net revenue highlights a deliberate strategic shift towards volume acquisition over immediate monetization. While take rates have compressed, impacting net revenue, the expansion of EBITDA margins from 47% to 68% of net revenue indicates improved operational efficiency and cost discipline. This suggests that despite lower per-transaction yields, the company is generating higher absolute profitability through scale and expense management, supporting its long-term investment thesis in AI and international markets.

AvenuesAI Limited will hold its 16th Annual General Meeting (AGM) on Tuesday, September 29, 2026, at 11:00 am through Video Conferencing (VC) or Other Audio-Visual Means (OAVM). The meeting is scheduled in compliance with the Companies Act, 2013, and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The Annual Report and Notice of AGM will be circulated electronically to members with registered email addresses. Those without registered emails will receive a letter with a web-link to access the documents. Shareholders can attend the meeting and vote via e-voting before and during the AGM.

Transfer Deed Re-lodgement Window

The company has opened a special window for the re-lodgement of transfer deeds. This facility applies to deeds lodged before April 1, 2019, that were rejected, returned, or unattended due to document deficiencies or other reasons. The window remains open until February 4, 2027.

Members holding shares in physical mode must provide details such as Folio Number, name, mobile number, scanned share certificates, PAN, and Aadhar cards to register their email addresses. Demat account holders should contact their respective Depository Participants.