Current state of the stock market:Zaggle Prepaid Ocean Services Ltd.’s shares have been rising since their debut on Indian stock exchanges. In the previous four months, Zaggle Prepaid Ocean Services’ share price has increased from about ₹164 per share to ₹278.90 on NSE following a flat listing on the BSE and NSE. This has given its positional owners a return of more than 70%. Still, it appears that there is still upward potential for the B2B SaaS fintech stock.
The share price of Zaggle Prepaid Ocean Services opened higher today and reached a high of ₹278.90 on the NSE during the day, which was a new lifetime high. The B2B SaaS fintech stock surged to a fresh high of ₹282 per share on BSE. But during Thursday’s trading on the NSE, profit-booking quickly set in, and the fintech stock hit an intraday low of ₹260.30 a share. The fintech business released its Q3 2024 results on Wednesday. The company showed strong growth in the majority of profitability indicators and strong quarterly revenue performance.
Q3 performance for Zaggle Prepaid Ocean Services
The B2B SaaS fintech company’s board of directors announced its Q3 2024 results on Wednesday. The fintech business recorded revenue from operations in the just concluded December 2023 quarter of ₹199.51 crore, a YoY increase of almost 35 percent over the ₹147.65 crore revenue from operations in Q3FY23. EBITDA for the firm was ₹22.86 crore, up 56.4 percent year over year from ₹14.62 crore in the October to December quarter of the previous fiscal year. During the October to December 2023 quarter, the company’s adjusted EBITDA margins increased from 9.9 percent to 11.5 percent YoY.
The B2B SaaS fintech startup had a PAT of ₹15.22 crore, indicating a YoY increase of approximately 900% compared to the PAT of ₹1.49 crore recorded in Q3FY23. According to the fintech business, higher interest income on larger cash and bank accounts following the IPO is the cause of the rise in other income.
Raj P. Narayanam, Founder & Executive Chairman of Zaggle Prepaid Ocean Services Limited, commented on the strong Q3 results, saying, “We are excited to announce that we recorded our highest ever quarterly sales with solid growth across all profitability indicators. We had a 35.1% YoY increase in revenues and a 56.4% YoY improvement in Adjusted EBITDA (before ESOP expenditures) throughout the quarter. Our product portfolio’s strategic diversification and the effective introduction of credit card services are the reasons behind our record-breaking achievement.”
Narayanam continued by saying that the company’s sales increase in 9MFY24 was above 37.0%, and its adjusted EBITDA margin, which excludes ESOP expenditure, was 55.3%. This achievement aligns with the company’s full-year expectation of between 11% and 13% for Adjusted EBITDA Margin (before ESOP expenditure) and 40% to 50% sales growth, according to Narayanam.
History is shared by Zaggle Prepaid Ocean Services.
The September 2023 IPO for Zaggle Prepaid Ocean Services was priced between ₹156 and ₹164 per equity share. Shares of Zaggle Prepaid Ocean Services are listed at ₹162 on the NSE and ₹164 on the BSE. This indicates that the stock’s listing was flat. But after becoming public, the fintech stock drew a lot of attention from buyers and surged to ₹278.90 per share on the NSE, up over 70% from the listing price.