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ValuationFinancial AnalysisPerformance Highlights (AllFY23 figuresvs in US$, unless otherwise noted)FY24)

PhonePeKey Metrics

Metric FY23 FY24 Financials

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Consolidated(%) revenueRevenue offrom operations ₹2,914 Cr ₹5,064 Cr (US $612 M), +73.8% YoY

Total

income ₹3,085 Cr ₹5,725 Cr +85.6% Total expenses ₹5,907 Cr ₹7,756 Cr +31.3% Loss before tax (₹2,802 Cr) (₹2,006 Cr) –28.4% Net loss narrowed(₹2,795 toCr) (₹1,996 CrCr) (US–28.6% $241 M)

Adjusted PAT (ex-ESOP) of(₹738 Cr) +₹197 Cr +₹935 Cr Cash & bank balances ₹1,081 Cr ₹4,432 Cr +310% Current ratio (USCA $24÷ M)CL) 2.09× 4.35× +2.26×

DiscountedTop Takeaways

Robust Revenue Growth: +74% YoY driven by rapid expansion of payment volumes and financial-services cross-sell.

Margin Improvement: Loss margin narrowed from –96%→–40%; adjusted PAT swung into positive territory (ex-ESOP).

Disciplined Cost Control: Overall expense growth (+31%) well below revenue growth, with headcount and tech investments ramping sustainably.

Strengthened Liquidity: Cash Flowbuffer tripled (DCF)₹4,432 Cr), current ratio more than doubled to 4.35×, providing ample runway.

Assumptions:

Revenue growth: 50%→40%→30%→25%→20% (FY25–FY29)

FCF margins rampingPath to 15%Profitability: byCore FY29

operations

WACCnow =cash-flow 12%,positive terminalbefore growthstock =compensation, 4%

setting

Impliedthe EV ≈ $3.3 B

Public Comps (EV/Revenue)

One97 Communications (Paytm) EV ≈ ₹425 B / Revenue ₹99.8 B ⇒ 4.3×

Global Fintech median EV/Rev ≈ 5.7× (Q4 2024)

Implied EV range (4.3–5.7×) × PhonePe FY24 rev ⇒ $2.6 B–$3.5 B

Precedent Transactions

General Atlantic growth round: $12 B pre-money valuation (Jan 2023)

Typical Fintech M&A EV/Rev: 6–8×

Implied EV (6–8×) × FY24 rev ⇒ $3.7 B–$4.9 B

Method Multiple Implied EV (US$) DCF n/a 3.3 B Public Comps 4.3–5.7× 2.6–3.5 B Precedents (6–8×) 6–8× 3.7–4.9 B Recent Growth Round – 12.0 B

Valuation Rangestage for Pitchfull Deck:P&L $9breakeven Bin – 13 B, anchored at $12 BFY25–26.

Note: Public‐market and DCF approaches yield a more conservative $2–5 B estimate, reflecting current profitability levels. PhonePe’s strong GMV growth, strategic Walmart/Flipkart backing, and leading UPI market share command a significant premium, as evidenced by its $12 B growth‐equity round.