AvenuesAI Limited — Q2 FY26 earnings call

Call held 13 Nov 2025

Management summary

Infibeam Avenues delivered its best-ever financial performance in Q2 FY26, achieving a nearly $1 billion annual revenue run rate ahead of schedule. The company reported significant growth in gross and net revenues, EBITDA, and PAT, driven by robust TPV and Rediff's performance. Strategic initiatives included expanding regulatory capabilities with PPI and IFSC approvals, and advancing AI-driven fintech solutions and consumer platforms.

Highlights

  • Achieved best-ever performance with record revenues and profits, the highest in company history.

  • Annual revenue run rate reached nearly $1 billion in Q2 2025, ahead of the March 2026 target.

  • Gross revenue stood at ₹1,965 crores, marking a 53% sequential and 93% year-on-year growth.

  • Net revenue was ₹153 crores, up 14% year-on-year, reflecting improved monetization.

  • Adjusted EBITDA reported at ₹94 crores, showing a 32% quarter-over-quarter increase.

  • Profit After Tax (PAT) reached ₹65 crores, an 18% year-on-year increase.

  • EBITDA margin was 61% and PAT margin was 42% of net revenue.

  • Received in-principle authorization from RBI for Prepaid Payment Instruments (PPIs) under CCAvenue Go.

Key financials

  1. Gross Revenue ₹1,965 Cr +93%YoY
  2. Net Revenue ₹153 Cr +14%YoY
  3. Adjusted EBITDA ₹94 Cr +32%QoQ
  4. PAT ₹65 Cr +18%YoY
  5. EBITDA Margin 61%
  6. PAT Margin 42%
  7. Take Rate 8.2 bps

What they filed

Q1 FY27: revenue up 109.4%, net profit up 46.6% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue1,017 1,070 1,161 1,280 1,965 +93%2,381 +123%2,490 +114%2,680 +109%
EBITDA78 78 75 71 90 +15%96 +23%91 +21%100 +41%
Net profit47 64 55 58 68 +45%80 +25%89 +62%85 +47%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Guidance & targets

Revenue

  • Annual Revenue Run Rate Revenue · Q2 FY26 · High confidence nearly $1 billion

    From targeted by March 2026 today

    We are now approaching an annual revenue run rate of nearly $1 billion, something we had talked about in 2023. Back then, we had suggested by March 2026, we expect to hit $1 billion on an annual revenue run rate basis.

    — Vishal Mehta

Profitability

  • FY26 Close Profitability · FY26 · Medium confidence higher end of our guidance range
    Based on this current trajectory, we expect to close FY 26 at the higher end of our guidance range.

    — Vishal Mehta

Investment

  • Rediff Investment Investment · next three years · High confidence $75 million to $100 million (₹500-700 crores)
    I think, I can see that Rediff will perhaps invest upwards of, $75 million to $100 million in the next three years. So, I am talking about Rs. 500 crore to Rs. 700 crores.

    — Vishal Mehta

Product Launch

  • RediffPay Consumer App Launch Product Launch · Q4 FY26 · Medium confidence Q4 time frame
    And as soon as we open up Pay, we expect that it will happen in Q4 time frame. If we get the permissions from NPCI sometimes this month to launch RediffPay, then we should be able to launch it full scale by Q4.

    — Vishal Mehta

Marketing Budget

  • RediffPay Marketing Budget Marketing Budget · High confidence ₹40 crores
    And as far as the budget is concerned, we have budgeted about Rs. 40 crores.

    — Vishal Mehta

Product Deployment

  • POS Device Deployment (Test Phase) Product Deployment · High confidence 50,000 devices
    Not to the scale that we think we can, but we test it out with 50,000 devices.

    — Vishal Mehta

Market context

  • International Payments Net Revenue Contribution Revenue · next 12 months to 18 months · Medium confidence double-digit
    international payments to contribute double-digit net revenue within the next 12 months to 18 months.

    — Vishwas Patel

What to watch in Q3 FY26

Final RBI approval for PPI (CCAVENUE Go)

next quarter (January/February)
Current In-principle authorization received
Target Final approval received, launch initiated

Why it matters

Enables the launch of new payment instruments like digital wallets and prepaid cards, expanding the company's offerings.

So, around January, February, if our final approval comes in from the RBI, we will be ready to do. That is on the PPI.

Risks & concerns

  • Impact of bad data on AI-driven approaches

    medium

    AI-first approaches can yield bad output if fed with bad data, but management states it's a 'little solved problem' with guardrails.

    Management acknowledged

  • AI agents going rogue

    medium

    The theoretical risk of AI agents acting autonomously without control is addressed by in-built measurement and monitoring.

    Management acknowledged

  • Crowded consumer fintech market for RediffPay

    medium

    Management acknowledges the competitive landscape for RediffPay but believes their philosophy and unique approach will differentiate them.

    Management acknowledged

Q&A highlights

7 direct
Capital allocation for AI, payment rails, and consumer platforms Direct
So, basically, as far as the capital allocation is concerned for the rights issue, it is part of the objects of the rights issue. And in terms of objects, the primary, the main objects were investments in AI, which is where we are building out Phronetic.AI.

Clarifies the strategic use of funds from the rights issue, prioritizing AI investments and Rediff ecosystem development.

Asked by Prathna from Neeyovan

Monetization and timeline for PPI and IFSC licenses Direct
So, around January, February, if our final approval comes in from the RBI, we will be ready to do. That is on the PPI. That is as far as IFSC, GIFT City is concerned, we have got basically three licenses there in principle approval from IFSC.

Provides specific timelines and details on the potential revenue streams from newly acquired regulatory approvals.

Asked by Rahul Jain from Dolat Capital

Monetization and investment strategy for RediffMail, RediffTV, and RediffOne Direct
Rediff will perhaps invest upwards of, $75 million to $100 million in the next three years. So, I am talking about Rs. 500 crore to Rs. 700 crores.

Quantifies the significant capital outlay planned for Rediff's consumer ecosystem and outlines its monetization potential.

Asked by Grishma Shah from Envision Capital

Revenue potential of PayCentral.AI and CommerceAI (agent-to-agent payments) Direct
So, we think that if we use that setup, so the first thing is that you would want to actually charge for every agent, every activity of an agent, because you are essentially now whether it is a subscription or a result, a paper result, it is different.

Explains the business model for AI-driven payment agents, indicating a subscription or results-based revenue model.

Asked by Grishma Shah from Envision Capital

Rediff TV strategy as a content creator or platform Direct
No, we will be a content creator. So, we already create content with news and the same news is being read by theoretically a video agent. And we can mix with quite a bit of multimedia.

Clarifies the company's intent to be a content creator for Rediff TV, leveraging AI for production and aiming for higher video monetization.

Asked by Deepesh Sancheti from Maanya Finance

Rediff app UI/UX issues and re-engineering Direct
The app had a legacy. So, we actually inherited the app about a year ago. And we have operated. In fact, if you see the app, it has a brand new UI now. So, in other words, whatever reviews that you have, we upgraded the app rather than deploying a new app, because there are already millions of users actually utilizing the app.

Addresses user feedback on the Rediff app, confirming a re-engineering effort to improve UI/UX and leverage the existing user base.

Asked by Athar Syed from SmartSync Services

Plans for NBFC license or banking sector entry Direct
We do not have any plans to go into banking or NBFC at all. What we may end up doing as we speak is we are evaluating opportunities, because we will connect the NBFCs and banks to consumers and merchants, much like some of the other UPI-based apps do.

Provides a clear stance against entering direct lending or banking, instead focusing on enabling connections between existing financial institutions and users.

Asked by Athar Syed from SmartSync Services

2 min read 7 chapters

Detailed narrative

Q2 FY26 Performance Highlights

Infibeam Avenues reported its best-ever performance in Q2 FY26, achieving record revenues and profits. Gross revenue reached ₹1,965 crores, a 53% sequential and 93% year-on-year increase, driven by higher TPV and Rediff's contribution. Net revenue grew 14% YoY to ₹153 crores, with adjusted EBITDA at ₹94 crores (up 32% QoQ) and PAT at ₹65 crores (up 18% YoY). The company maintained strong profitability with an EBITDA margin of 61% and PAT margin of 42% of net revenue.

Strategic Transformation and AI Vision

The company is transitioning into a hybrid B2B and B2C organization, anchored on AI-driven fintech infrastructure and AI-powered consumer/merchant platforms. This dual-engine model aims to power India's digital payments backbone and build next-generation AI-native experiences. The long-term vision is to create India's most trusted, regulated, intelligent, and globally scalable AI fintech infrastructure, led by CCAvenue and Phronetic.AI.

Regulatory Milestones and New Offerings

Infibeam Avenues received in-principle authorization from RBI to issue Prepaid Payment Instruments (PPIs) under its new brand CCAvenue Go, enabling digital wallets, prepaid gift cards, and transit cards. This completes a full regulatory stack for acquiring, issuing, and billing. Additionally, in-principle approval from IFSCA for IA Fintech IFSC Private Limited will allow cross-border money transfer, escrow services, and merchant acquiring at GIFT-IFSC, presenting significant monetization opportunities.

Rediff Ecosystem Development

Rediff.com is being reimagined as India's first AI-native consumer ecosystem, built on three pillars: RediffOne (unified communication, commerce, productivity suite with over 100 million registered users), RediffPay (upcoming consumer UPI app with NPCI in-principle approval), and RediffTV (AI-driven content streaming, currently in beta). The company plans to invest $75-100 million (₹500-700 crores) in Rediff over the next three years, with RediffPay expected to launch in Q4 FY26 with a marketing budget of ₹40 crores.

AI-driven Fintech Infrastructure

Through Phronetic.AI, Infibeam is embedding intelligence across its digital and financial stack. Key highlights include the launch of PayCentral.AI, an agentic payment platform built on Google's protocol, enabling AI agents to transact autonomously. The Agent Operating System provides a next-generation orchestration layer, connecting various AI models and enterprise workflows, with a focus on on-premise deployment for data security and control.

Monetization Strategy and Take Rates

The company's strategy focuses on absolute profit and cash flow generation, even as take rates adjusted from 11.2 bps to 8.2 bps due to a shift towards credit card volumes. Management emphasized optimizing for larger volumes and transactions to grow absolute profits. New monetization avenues include charging for AI agent activities (subscription or results-based) and leveraging Rediff's existing user base for low customer acquisition costs for RediffPay.

International Expansion

International operations in UAE and Saudi Arabia are scaling rapidly, processing billions of dirhams annually, with Oman slated for launch next. The company expects international payments to contribute a double-digit percentage to net revenue within the next 12 to 18 months, indicating strong growth and diversification beyond domestic markets.

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