Pine Labs Limited reported its first full year of profitability for the financial year ended March 31, 2026, with a net profit of ₹113 crore. This marks a significant turnaround from the net loss of ₹145 crore recorded in the previous year. Revenue from operations grew 19% year-on-year to ₹2,711 crore, driven by a 50% increase in Gross Transaction Value to $194 billion. Operating cash flow for the year surged to ₹395 crore, an eight-fold increase compared to the prior year, with the company's strong working capital cycle identified as a key driver of healthy cash flow creation. The company also expects full-year operating cash flow to stay around ₹400 crore, with strong performance anticipated ahead.

The Board of Directors approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, at a meeting held on May 25, 2026. B S R & Co. LLP, the statutory auditor, issued an unmodified opinion on the financial results. For the quarter ended March 31, 2026, the company reported its highest-ever quarterly profit after tax of ₹59 crore, compared to a loss of ₹29 crore in the corresponding period of the previous year. Quarterly revenue came in at ₹701 crore, compared to ₹599 crore in the same period of the prior year.

Financial Performance

The company's adjusted EBITDA expanded 57% year-on-year to ₹559 crore, with margins improving from 16% to 21%. The contribution margin for the year stood at ₹2,041 crore, representing a 75% margin. On a standalone basis, the company reported a profit of ₹149.88 crore for FY26, compared to ₹28.02 crore in the previous year. The following table summarises the key consolidated financial metrics for the full year.

Consolidated Financial Results (FY26)

Q4 Consolidated Performance

The latest quarterly results highlight the company's continued momentum, with key metrics summarised below.

Analyst View

Morgan Stanley has maintained an Equal-weight rating on Pine Labs with a target price of ₹245. The brokerage cited a slight Q4 miss versus consensus but acknowledged strong operating leverage and improved adjusted EBITDA-to-cash flow conversion as positive indicators. Morgan Stanley also noted the company's medium-term revenue growth guidance of 21–23.5% as a key factor underpinning its assessment.

Morgan Stanley Rating Summary

Strategic Developments

During the year, the company completed an initial public offering (IPO) in the quarter ended December 2025, raising ₹2,080 crore through a fresh issue of equity shares. The proceeds were utilised for repayment of borrowings, investments in subsidiaries, and technology development. As of March 31, 2026, the company had utilised ₹797.28 crore of the IPO proceeds, leaving ₹1,282.72 crore unutilised.

Subsequent to the reporting date, on April 25, 2026, Pine Labs entered into a Share Purchase Agreement to acquire 100% equity stake in Shopflo Technologies Private Limited for a cash consideration of ₹88 crore. Shopflo is engaged in the business of a direct-to-consumer Checkout Platform. The transaction is subject to the fulfilment of specified precedent conditions. The company also acquired an additional 74.60% equity interest in Agya Technologies Private Limited during the year, increasing its total holding to 100%. This acquisition resulted in a remeasurement loss of ₹4.79 crore recognised in the financial statements.

Conference Call Disclosure

Pursuant to Regulation 30 and 46 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Pine Labs has uploaded the audio/video recording of the conference call organised with analysts and investors. The call was held on Tuesday, May 26, 2026, from 8:02 A.M. (IST) to 9:18 A.M. (IST). The recording is accessible on the company's website at www.pinelabs.com/investor-relations/financial-results?tab=quarterly-results .

A large block trade in Pine Labs was executed on the National Stock Exchange (NSE), with the transaction valued at ₹599.56 crore. The deal involved approximately 44198998 shares transacted at a price of ₹135.65 per share, reflecting significant market activity in the stock.

Block Trade Details

Block trades of this scale typically indicate substantial participation by institutional investors or large stakeholders. The following table summarizes the key parameters of the transaction:

The transaction underscores considerable interest in Pine Labs at the current price level, as block deals of this magnitude are typically executed outside the regular market mechanism to minimize price impact.