MUMBAI, 27 JULY, 2022 (GPN): Fino Payments Bank Limited (‘Fino’ or the ‘Company’ or ‘the Bank’) has today announced its results for the first quarter ended June 2022 (‘Q1FY23’).  The Bank’s Q1 FY23 performance surpassed that of Q4 FY22, a seasonally stronger quarter, which indicates growth trajectory Fino is currently focussing on. It also highlights the strength and scalability of the Bank’s business model along with digital impetus for future growth.

Highlights for the Quarter Throughput and Transaction Highlights Overall throughput value grew by 45% YOY to ₹60,784 cr Q1FY23 was the first ever quarter where the phygital (non-digital) throughput crossed ₹50,000 cr Exponential growth in digital throughput at 285% – digital throughput is also 16% of overall throughput in Q1FY23, up from 10% in Q4FY22 25 cr transactions were processed in the Fino ecosystem, up 102% YOY  Financial Highlights Revenue up by 40% YOY to ₹289 cr For the first time in the history of Fino, revenue in a first quarter has also grown sequentially over the last quarter of the previous financial year Transaction revenue excluding BC banking was up by 22% YOY Subscription and on-boarding revenue continued to register strong momentum with a 68% YOY growth despite moderation in on-boarding fees EBITDA and PAT grew by 111% YOY and by 223% YOY to ₹24 cr and ₹10 cr, respectively EBITDA margins widened to 8.2% in Q1FY23 from 5.4% in Q1FY22 while PAT margins widened to 3.5% in Q1FY23 from 1.5% in Q1FY22 If PAT is adjusted for the digital spends (these spends are more of an investment for the future), it would’ve been higher by 30% in Q1FY23 Operational Highlights Distribution network: Penetration deepened further as registered merchant count increased by 58% YOY to 11.4 lakhs Customer ownership: Bank accounts opened during the quarter grew by 83% YOY at 6.2 lakhs Product mix continues its shift towards high growth- high margin products, CASA and CMS, that cumulatively contributed 21% of overall revenue CASA renewal income grew by 379% YOY while it grew by 26% sequentially New CASA subscription income grew by 75% YOY Total deposits went up by 131% YOY from ₹251.25 cr as on 30th June 2021 to ₹581.53 cr as on 30th June 2022 Average account balances went up from ₹866 in Q1FY22 to ₹1,116, a growth of 29% YOY The Banks’ total account base as on 30th June 2022 was at 52.1 lakhs of which 33% accounts are active on digital payments Throughput on CMS doubled YOY to ₹9,171 cr on the back of addition of partners Healthy growth on AEPS as throughput grew by 42% YOY as against an industry growth of 28% YOY Remittance, a product that attracts footfalls, saw a throughput growth of 67% YOY

Rishi Gupta, CEO & Managing Director:

“The quarter ended marked the tenth straight quarter profit. And with it half of our five year existence as a payments bank has been profitable. A remarkable achievement given the concerns, reiterating the robustness of our asset light, scalable, growth oriented business model. Our customer centric innovations, partnerships and ability to identify opportunities have been critical in our growth story. We will continue the momentum with emphasis on customer acquisition strategy and I am confident of our next growth phase driven by high growth products and digital initiatives.”

Ketan Merchant, Chief Financial Officer:

“At Fino, our focus has always been on strong bottom line growth. We have been able to double our PAT despite some strong headwinds on inflation. Our endeavour is to leverage the 1.14 million strong network and dovetail our digital strategy to enhance cross sell opportunities in the long run for stakeholder value creation.”-Ends

About Fino Payments Bank Ltd (www.finobank.com) BSE: 543386; NSE: FINOPB)

Fino Payments Bank is a subsidiary of Fino Paytech Limited, which is backed by marquee investors like Bharat Petroleum, ICICI group, Blackstone, IFC, Intel and LIC among others. Frugal innovation is the key that has given the fintech a leadership position at the middle of the pyramid which primarily constitutes emerging India customers. The Mumbai-based Bank operates on an asset light business model that principally relies on fee and commission based income generated from merchant network and strategic commercial relationships.

The Bank’s platform had facilitated more than 67 crore transactions with a gross transaction value of over ₹1.87 lakh crore in financial year 2021-22. The Bank turned profitable in the fourth quarter of 2019-20 and has been profitable in subsequent quarterly periods. It registered a profit of ₹42.74 crore in 2021-22.

In Q1 FY23, the Bank facilitated transactions worth ₹60,784 crore of which more than ₹50,000 were processed by its phygital network alone, a first in any quarter. The Bank registered a PAT of ₹10 crore in the first quarter of FY23.