Pine Labs turns profitable in Q4, margins expand; Stock gives up gains

Shares of Pine Labs Ltd. gained on Tuesday, May 26, after the company reported a strong set of earnings in the fourth quarter.The company reported a profit after tax (PAT) of ₹59 crore from a loss of ₹29 crore last year. It also increased from the previous quarter’s ₹42 crore.

Its revenue from operations increased 17% to ₹701 crore in the fourth quarter from 599 crore last year. It was lower than the previous quarter’s ₹744 crore.
The company’s adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) surged 73% to ₹146 crore from ₹84 crore in the fourth quarter of the previous fiscal. It declined from the prior quarter’s ₹171 crore.
Its EBITDA margin expanded to 21% from 14% in the year-ago period but contracted from the previous quarter’s 23%.Pine Labs’ operating cash flow increased eight times to ₹395 crore. Its online payments witnessed 56% growth during the quarter.

The company’s international business made up for 15% of its revenue.

The Pine Labs management has guided for 21% to 23.5% revenue growth in the financial year 2027.

Shares of Pine Labs were up 4.5% just after market open at ₹152.8 apiece. The stock has declined 26.7% in the past month and is down 37.6% this year, so far and trades well below its issue price of ₹242 per share.

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