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Prameela Balakkala

26th Jul 2025 · SEBI-Registered Analyst

AFFLE (India) Q1 Results and Business Outlook

AFFLE (India) reported a strong performance in the first quarter of FY2026. Its EBITDA (earnings before interest, taxes, depreciation, and amortization) rose to ₹139.7 crore, compared to ₹104.5 crore in the same quarter last year—a growth of about 34%. The company’s EBITDA margin also improved, rising from 20.12% to 22.51%. Revenue increased to ₹620.7 crore, up by nearly 20% year-on-year. Net profit (PAT) stood at ₹105.5 crore, up about 22% compared to last year. The profit margin also grew slightly from 15.9% to 16.5%, showing better control over costs. 🚀 Business Strengths and Benefits AFFLE runs on a CPCU model (Cost per Converted User). It recorded 10.7 crore conversions, a growth of nearly 18%. The company is focused on digital advertising technology using AI. It recently launched Opticks AI, which helps create ads in real-time and improves ad targeting. AFFLE has also become an Apple-certified partner, which strengthens its presence in the iOS mobile ad market. The company continues to grow both in India and globally, aiming to bring in more customers and revenue. 📈 Financial Outlook With strong revenue and profit growth, AFFLE is expected to perform well in the coming quarters. Its focus on AI and smart ad tools could help it grow faster and gain more market share. The company is likely to maintain or even improve its profit margins if it manages costs efficiently. ⚠️ Debt and Risks AFFLE has very low debt, with a debt-to-equity ratio of just 0.03. This means it does not rely much on loans to fund its business. However, its growth depends on how much companies spend on digital advertising. If the economy slows down or ad budgets are cut, growth may slow. There is also a risk that new technology projects like Opticks may take time to show profits or may need more investment.

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