Fintech firm Zaggle Prepaid Ocean Services Ltd announced on Thursday (March 5) that it has entered into a three-year agreement to provide its Zaggle Save employee expense management and benefits solution to Blue Star Ltd. According to reports from CNBC TV18, under the contract, Zaggle will implement and manage Zaggle Save services for Blue Star's employees for the duration of the agreement. The order has been awarded by a domestic entity and is not classified as a related party transaction.
The company delivered exceptional financial results for FY25, with total operating income rising 68% year-on-year to ₹1,303 crore, significantly exceeding prior guidance. As reported in the latest earnings call transcript, Zaggle achieved profit after tax (PAT) of ₹88 crore, up 99% YoY, also surpassing earlier projections. Q4 FY25 revenue grew 51% YoY to ₹411 crore, demonstrating strong momentum in the final quarter. The company's impressive growth trajectory was driven by expanding user base and successful customer acquisition strategies.
Management provided optimistic guidance for FY26, projecting standalone revenue growth of 35-40% and EBITDA margin expansion to 10-11%, up from 9.6% achieved in FY25. According to the earnings call transcript, this guidance reflects the company's confidence in continued market expansion and operational efficiency improvements. The strong financial performance and positive outlook position Zaggle well for sustained growth in the corporate expense management sector.
Zaggle provides comprehensive spend management solutions through a unified platform integrating employee benefits, expense management, accounts payable, and personal finance tools. The company serves over 3,700 corporate customers with more than 3.5 million platform users across diverse industry segments including banking, technology, healthcare, manufacturing, FMCG, infrastructure, and automotive sectors. The company's three major revenue streams include Propel Platform Revenue (PPR) generated through monetizing 'Propel Points' reward system, Programme Fee Revenue (PFR) as Zaggle's portion of interchange fees from banking partners, and SaaS Fee Revenue (SFR) from periodic subscription fees for software usage. CARE Ratings noted the company maintains strong partnerships with all major payment networks including VISA, MasterCard, and RuPay, ensuring comprehensive market coverage.
According to CNBC TV18, last month, Zaggle Prepaid Ocean Services said it has entered into multiple agreements to provide its corporate expense solutions to leading domestic entities. The company will offer Zaggle Corporate Expense cards to employees and associates of Chennai Super Kings Cricket Limited and Superking Ventures Private Limited, each contract valid for one year. Separately, Zaggle has signed a five-year agreement with Saurashtra Cement Limited to provide its Zaggle Save platform, covering employee expense management and benefits. All contracts are domestic in nature, not related party transactions, and involve no interest from the promoter or promoter group in the awarding entities. As reported by CNBC TV18, shares of Zaggle Prepaid Ocean Services Ltd ended at ₹217.30, up by ₹1.85, or 0.86%, on the BSE today, March 5.
