Fino Payments Bank (FPB) reported a 25 per cent year-on-year (y-o-y) increase in fourth-quarter net profit at ₹22.1 crore against ₹17.6 crore in the year ago quarter on the back of healthy growth in net revenue and tight rein on operating cost.

Net revenue (difference between revenue and product cost) was up 18 per cent yoy at ₹105.8 crore (₹89.5 crore in the year-ago quarter).

Operating cost nudged up 4 per cent y-o-y to ₹62.7 crore (₹60.1 crore).

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Other finance cost and depreciation, however, rose 77.5 per cent y-o-y to ₹20.9 crore (₹11.8 crore).

A break-up of the total revenue (of ₹323 crore in Q4 FY23) by product mix in the reporting quarter shows that the highest revenue came from remittance (32 per cent), followed by cash management service/CMS (20 per cent), others (12 per cent), Business Correspondent banking, Aadhaar-enabled Payment System, and microATM (9 per cent each).

Total deposits rose by 66 per cent yoy to stand at ₹1,200 crore as at March-end 2023 against ₹724 crore as at March-end 2022.

The number of current accounts, savings account deposits (CASA) was up 64 per cent yoy to stand at 75.2 lakh as of March-end 2023 against 45.9 lakh as at March-end 2022. Average CASA balance increased to ₹1,216 against ₹1,093.

Total throughput (of transactions) increased by 27 per cent yoy to ₹68,000 crore in the reporting quarter against ₹53,543 core in the year ago quarter.

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Rishi Gupta, CEO & Managing Director said, “CASA and CMS continue to outperform our expectations and we are very confident of this momentum to continue. This year, we also enhanced on our digital groundwork, the digital throughput gained traction and increased from 16 per cent to nearly 23 per cent between Q1 FY23 and Q4 FY23.”

Meanwhile, in its business projections for FY26, FPB said it wants to increase its average CASA balance to about ₹2,000 (from ₹1,216 now), grow the number of customers from 75 lakh to 2 crore; increase total deposits from ₹1,200 crore to about ₹3,500 crore; and expand merchant base from 14 lakh to about 20 lakh.