India's Zaggle slumps after margins raise concerns, cash burn

Zaggle Prepaid Ocean Services

14/05/2026 07:41

** Zaggle Prepaid Ocean Services ZAGG.NS plunges 17.5% to 234 rupees, on track for worst session on record

** Fintech stock at more than one-month low

** Q4 EBITDA margins mostly flat YoY, elevated costs from rewards fulfillment weigh on profitability

** FY26 shows negative operating cash flow vs positive inflow previous year due to higher working capital needs

** Revenue mix tilted toward lower-margin transaction businesses like gift cards vs higher-margin software fees

** Standalone gross margin fell to 41.4% in Q4 FY26 from 46.1% year ago, highlighting cost pressures

** Co reports near 50% jump in Q4 revenue, 30% rise in profit

** YTD, stock down 32%

(Reporting by Pranav Kashyap in Bengaluru)

((pranav.kashyap@tr.com; +919886482111;))