Startup Originals Team
Pune-based payments infrastructure company Easebuzz crossed ₹700 crore in annual operating revenue in FY26, but its profitability came under pressure as growth slowed and expenses increased.
The company’s revenue from operations rose 9.1% to ₹716 crore in the financial year ended March 2026, compared with ₹656 crore in FY25. However, net profit declined sharply by about 43%, reflecting the impact of higher operating costs and weaker growth.
The slowdown came after the company’s strong FY25 performance, when revenue had nearly doubled to ₹650 crore from ₹294 crore in FY24 while remaining profitable. Easebuzz had also raised $30 million in a Series A round led by Bessemer Venture Partners in April 2025 to expand its payments and SaaS offerings.
What Happened?
Easebuzz’s operating revenue increased to ₹716 crore in FY26 from ₹656 crore in FY25, according to the financial statements cited in the company’s filings.
Transaction fees remained the company’s primary revenue source. Easebuzz generated ₹697 crore from transaction fees during the year, accounting for about 97.35% of operating revenue.
Information technology and support fees contributed another ₹14 crore, while SaaS fees generated ₹5 crore.
Including other income of around ₹7 crore, Easebuzz’s total income reached approximately ₹723 crore in FY26, compared with ₹659 crore in the previous financial year.
Despite the increase in revenue, the company’s profit declined by 43% during the year. The contraction came as total expenses increased faster than revenue.
Key Details
Payment processing charges continued to be Easebuzz’s biggest expense. The company spent ₹557 crore on payment processing in FY26, up around 2% from ₹546 crore in FY25.
The expense represented nearly 79% of Easebuzz’s total expenses, leaving relatively limited room for margin expansion from its core payment-processing business.
Other operating expenses increased much more sharply.
Employee benefit expenses jumped 82.7% to ₹95 crore, while information technology expenses increased 68.8% to ₹27 crore. Advertising and promotional spending rose 350% to ₹9 crore.
Other expenses increased 11.1% to ₹20 crore during the year.
Overall, Easebuzz’s total expenses rose 11.7% year-on-year to ₹708 crore in FY26 from ₹634 crore in FY25. This growth was faster than the company’s 9.1% increase in operating revenue.
Impact Of The Real-Money Gaming Ban
The company’s performance was also affected by regulatory changes in India’s online gaming sector.
The ban on real-money gaming applications at the beginning of FY26 affected payment volumes and contributed to the slowdown in Easebuzz’s business, particularly because payment gateways serving online businesses can be exposed to changes in transaction activity across high-volume sectors.
The impact was felt against a particularly strong FY25 base. Easebuzz had reported ₹650 crore in revenue for FY25 after generating ₹294 crore in FY24.
The slower growth in FY26 therefore represents a significant moderation from the previous year’s expansion.
Why This Matters
Easebuzz’s FY26 results highlight the challenge faced by payment companies that operate on high transaction volumes but also carry significant processing costs.
While revenue crossed ₹700 crore, the relatively small gap between revenue and expenses shows how payment-processing charges can put pressure on profitability. Rising spending on employees, technology and marketing added further costs during the year.
The results also show the importance of diversification for payment infrastructure companies. Easebuzz has been expanding beyond its core payment gateway business into SaaS, offline payments and financial infrastructure.
The company received final RBI authorisation to operate as an online payment aggregator in February 2025 and later secured authorisations covering online, offline and cross-border payments.
Company Background
Easebuzz is a Pune-based full-stack payments solutions provider founded in 2014 by Rohit Prasad. The company provides payment infrastructure and software solutions to businesses through APIs and other technology products.
Its offerings cover online payment collection, payouts, financial operations and vertical SaaS solutions. The company serves businesses across sectors including education, real estate, e-commerce, BFSI, government and travel.
Easebuzz said in April 2025 that it served more than 2 lakh businesses across India and had processed gross transaction value of more than $30 billion in FY25. Its clients include businesses such as Zepto, BigBasket, Bajaj FinServ, IRCTC, Star Health Insurance, Symbiosis University and DLF.
In April 2025, the company raised $30 million in Series A funding from Bessemer Venture Partners, with participation from existing investors 8i Ventures and Varanium Capital. The round included both primary and secondary transactions.
Industry Impact
Easebuzz’s FY26 performance comes at a time when India’s digital payments market continues to expand, but payment companies are also facing increasing regulatory and cost pressures.
The company’s move into SaaS, offline payments and additional payment infrastructure could help reduce its dependence on transaction-fee revenue over time. However, the FY26 numbers show that transaction fees still accounted for more than 97% of operating revenue.
The company has already expanded its product portfolio beyond online payment aggregation. In 2025, it announced plans to enter offline payments through point-of-sale and UPI QR-based Soundbox solutions.
Easebuzz also launched Banking Connect IBMB in partnership with NPCI Bharat BillPay Limited in 2025, expanding its role in business payment infrastructure.
Future Plans
Easebuzz’s earlier Series A funding was earmarked for product innovation, expansion of its vertical SaaS stack, strengthening online payment aggregation and increasing its merchant network.
The company also planned to expand into offline payments through POS and UPI QR-based Soundbox products. It had received RBI approval to operate as an online payment aggregator and was also pursuing broader payment capabilities.
These initiatives could become increasingly important as Easebuzz looks to diversify its revenue base and improve operating leverage after the sharp decline in profitability in FY26.
Conclusion
Easebuzz’s revenue crossed ₹700 crore in FY26, reaching ₹716 crore after a 9.1% year-on-year increase. However, the company’s profit fell 43% as expenses grew faster than revenue, with payment processing remaining its largest cost.
The FY26 performance marks a clear slowdown from the company’s rapid growth in FY25. Going forward, Easebuzz’s expansion into SaaS, offline payments and broader financial infrastructure will be important as it looks to diversify revenue and rebuild profitability.
