Mobikwik Losses Narrow
The share price of MobiKwik surged by almost 14 percent on January 7th, following the company’s reduction in net losses for the quarter ending in September 2024.
One MobiKwik Systems Limited reported a net loss of Rs 3.6 crore for the September 2024 quarter due to increased expenses. However, this loss was an improvement from the Rs 6.6 crore loss in the previous quarter (Q1FY25).
In the same period of the previous fiscal year 2023-24, the company had reported a net profit of Rs 5.3 crore, as stated in an exchange filing.
The company explained that the losses in Q2 were due to ongoing investments in the business to drive future growth. This strategic move to narrow losses resonated positively with investors, leading to a surge in the stock price. MobiKwik shares reached an intraday high of Rs 637.80 per share on the NSE, marking a 13.66 percent increase. By 3 PM, the stock was trading at Rs 621 per share, up by 10.68 percent.
MobiKwik shares were listed in December 2024 at a premium of nearly 60 percent following a successful three-day share sale in the primary market.
Upon listing, Fintech firm One MobiKwik Systems Ltd’s stock opened at Rs 440 per share on the NSE, representing a significant premium of 57.71 percent over the issue price of Rs 279. The company’s market valuation reached Rs 3,890.14 crore post the listing of shares.
At the BSE, the company’s shares were listed at Rs 442.25 per share, reflecting a premium of 58.51 percent.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.