Business

Prosus India Delivers Strong H1FY26 Growth as PayU Turns Profitable

PayU Turns Profitable as Prosus India Cuts Losses and Delivers 20% Growth in H1FY26

Written By : Bhavesh Maurya
Reviewed By : Shovan Roy

The Dutch technology investor, Prosus, reported strong performance for the Indian operations during the first half of FY26, with $397 million in revenue representing a 20% increase. 

Prosus has also cut its adjusted EBITDA loss from $19 million in FY25 to just $1 million. Operating losses went from $40 million down to $15 million due to improved cost efficiencies and better operational discipline.

PayU India’s Turnaround and Rising Profitability

A major highlight of Prosus’ performance in India was the turnaround of PayU India, achieving profitability for the first time. The payments and lending business reported a positive adjusted EBITDA of $3 million in H1FY26. 

PayU received approval for a long-awaited Payment Aggregator Licence from the Reserve Bank of India, which benefited PayU’s performance. 

Its assets under management were $25 million as of April 2024 and increased to $204 million by September 2025, a strong indicator of the demand from merchants for working-capital credit. 

For the September quarter, PayU's revenues increased to $214 million, representing a 21% YoY increase supported by a combination of growing loan volume and additional services offered by the company, such as fraud prevention tools and authentication software.

Strategic Investments in Rapido and Ixigo

Prosus continued to grow its India portfolio via two major investments. It invested $67 million in Rapido, giving it 10.2% ownership, and acquired 16.2% ownership of Ixigo for $222 million.

With board representation at Ixigo, the company will now account for the investment as a strategic asset rather than a passive holding. 

Ecosystem Collaboration Across Portfolio Companies

Chief Executive Officer Fabricio Bloisi emphasized that India remains a critical strategic market for Prosus. 

He reiterated the company’s vision to build a comprehensive lifestyle e-commerce ecosystem by enabling deeper collaboration among its portfolio companies. This approach mirrors Prosus’ successful playbook in Latin America.

PayU is already integrating financial products across the Prosus network by offering checkout financing and merchant credit to partners such as Swiggy and Meesho. 

Performance of Key Portfolio Companies

Swiggy's customer base increased 35% YoY to 21.6 million; also, its gross order value increased 43% due to increased demand for food delivery, as well as the introduction of new delivery methods like Bolt. 

PayU had a 55% increase in payment volume in the first half of FY26 because of a surge in UPI usage as well as a strategic move from low-margin to high-margin services.

Also Read: Best Growth Stocks for Long-Term Investors in 2025

Strong Liquidity and Future Outlook

The strong liquidity position of Prosus allows it to maintain $18.3 billion in cash reserves and $2.5 billion from an unutilised credit facility.

While continuing with their strategy, Prosus's goal remains to acquire high-impact assets across India, Europe, and Latin America and continue to expand its integrated ecosystem approach.

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