PhonePe Reports Revenue Growth and Profitability Gains Amid Monetisation Challenges Ahead of IPO

PhonePe's financial disclosures reveal strong revenue growth at a 56.25% CAGR from FY23 to FY25, driven by diversification into merchant payments and lending services. Profitability improved with reduced losses and positive adjusted EBIT and EBITDA in recent years. Despite a large user base and high transaction frequency, monetisation per user remains a challenge. Analysts highlight risks ahead of PhonePe's IPO, noting concerns over sustainable revenue generation compared to peers like Paytm, which is viewed as having a more favorable risk-reward profile.