India's fintech landscape has seen rapid innovation and growth over the past decade. Within this dynamic environment, companies specializing in spend management and digital payments are carving out strong positions as businesses seek greater automation and control over expenses.
Zaggle Prepaid Ocean Services Ltd is a leading Indian SaaS fintech company specializing in innovative financial solutions that help businesses manage expenses, payments, and rewards through automated digital workflows and prepaid card solutions.
What does Zaggle do?
Zaggle is a company that helps businesses manage their spending more efficiently. It offers a variety of tools and services that allow organizations to keep track of how money is being spent, whether it's for employee expenses, business operations, or rewards. For example, it makes it easier for companies to handle reimbursements, give out bonuses or incentives, and even offer tax-saving options to employees. Zaggle also supports businesses in organizing corporate gifting solutions and customer loyalty programs. All of these services are brought together in a single, easy-to-use system that combines software with prepaid cards, which can be used both online and in physical stores—making transactions smooth and hassle-free.
Products and solutions offered Zaggle
1. Prepaid cards and gift cards
Zaggle has issued over 50 million prepaid cards in collaboration with leading banks, and is one of the largest issuers in India. These prepaid cards are designed to support a wide range of business expenses, rewards programs, and corporate gifting. Accepted at all merchants where Visa, Mastercard, or RuPay are recognized, the cards offer businesses a versatile and convenient solution for managing payments across various sectors. The company made about 43% of its revenue from card transactions.
2. SaaS platforms for spend management
Propel:
Zaggle Propel provides an integrated solution for managing employee rewards and channel partner incentives. The platform automates reward and recognition processes, increasing engagement among employees and channel partners, which in turn accelerates business growth. By utilizing Zaggle Propel, businesses can effectively transform their channel partner incentive programs, fostering greater loyalty. This results in enhanced partner performance, increased channel revenues, and improved profitability.
Save:
Zaggle’s platform digitizes and simplifies the management of employee expenses, reimbursements, and benefits. By consolidating these processes into one centralized system.The platform allows for easy upload and approval of employee expenses, eliminating the need for manual tracking and paperwork. This digital solution enhances transparency by providing real-time visibility into employee spending, enabling better control and decision-making. Additionally, Zaggle offers flexibility in managing employee benefits, allowing companies to tailor and manage benefit offerings more effectively. This not only reduces administrative overhead but also contributes to cost savings by optimizing expense handling and reimbursement processes. Overall, Zaggle’s solution enhances operational efficiency, reduces the time spent on manual processes, and ensures better control over employee expenses, helping businesses save both time and money through advanced travel expense management software and automation tools.
Zoyer:
Zaggle Zoyer is a comprehensive Business Spend Management platform that integrates finance functions to enhance operational efficiency, improve cash flow, and boost overall financial performance. It simplifies the procure-to-pay cycle by automating various tasks involved in the process. The platform enables businesses to set up workflows for approvals, generate purchase orders, update goods receipt notes (GRN), upload and approve invoices, and manage payments, all within one cohesive system. This automation streamlines financial operations, reduces administrative overhead, and ensures accurate and timely management of business expenses. Zoyer’s capabilities position it as a top-tier software expense and procure-to-pay automation platform for modern enterprises.
EMS (Expense Management System):
Zaggle EMS is an all-in-one expense management system designed to help businesses digitize employee expenses and reimbursements, streamlining the process and reducing both time and costs. The platform allows for easy uploading and approval of expenses through an intuitive online system. By digitizing these processes, businesses can eliminate manual tracking, enhance accuracy, and ensure faster reimbursement cycles, ultimately improving overall operational efficiency and cost control.
Corporate credit card with ZatiX:
Zaggle offers an integrated credit card and spend analytics solution designed to enhance Travel & Entertainment (T&E) spend management, enabling businesses to make data-driven decisions and gain better financial control. By consolidating all travel and expense management software features in one secure platform, businesses can streamline their T&E tracking and gain financial control. The YES BANK Zaggle Corporate Card, paired with Zaggle ZatiX, provides real-time analytics that offer valuable insights into T&E expenses, helping businesses identify trends, curb wasteful spending, and optimize working capital. This integration not only helps businesses maximize buying power but also enables them to negotiate better terms with suppliers. With built-in fraud protection and a liability waiver, businesses can enjoy peace of mind, knowing their transactions are secure.
3. Employee benefits and tax savings
Multi-wallet card solutions provide a convenient way to allocate funds across various categories, including meals, fuel, gadgets, leave travel allowance (LTA), and gifts, in a tax-efficient manner. This platform replaces traditional manual processes with a seamless digital experience, making it easier for businesses to manage and claim employee benefits. By organizing funds into specific categories, the solution ensures better control and compliance while streamlining the process for both employees and employers.
4. Loyalty and incentive solutions
Zaggle Infinity and Zaggle Edge empower businesses to create and manage customized customer loyalty programs and employee incentive schemes. These platforms are designed to enhance engagement and foster long-term retention by offering tailored rewards and recognition systems. By leveraging these tools, businesses can strengthen relationships with both customers and employees, driving loyalty and motivation across their workforce and clientele.
Segment-wise business share
Here is the latest Q3FY25 segment-wise business share data for Zaggle Prepaid Ocean Services:
Scale and reach
Zaggle serves a diverse client base of over 3,300 corporate customers spanning sectors such as banking, IT, healthcare, manufacturing, FMCG, and more. The company’s platforms are used by more than 3 million end users, including employees and business partners. The company has built strong collaborations with 14 banking partners and major card networks such as Visa and RuPay.
With offices across seven major Indian cities, Zaggle is also steadily expanding its presence in international markets, including Canada, the United Kingdom, and the United States. Some of its prominent clients include leading names like Microsoft, Dr. Reddy’s Laboratories, Infosys, and several Tata Group companies, reflecting the company's growing credibility and market reach.
Strong Q3FY25 financial performance
In Q3 FY25, the company achieved a sales of ₹336.4 crores marking a significant 69% year-on-year (YoY) growth. The adjusted operating profit stood at ₹31.5 crores , reflecting a 38% increase compared to Q3 FY24.
Strategic partnerships
The company successfully completed its Qualified Institutional Placement (QIP) of ₹595 crores , aligning with its growth strategy focused on inorganic expansion. Additionally, several strategic collaborations were established during the quarter. Notably, a 3-year partnership was signed with HDFC Bank, the largest private bank in India, to provide credit card solutions. Furthermore, a long-term referral partnership program was initiated with Mastercard, enhancing the company’s market reach.
Leveraging its comprehensive product portfolio, the company expanded its customer base to over 3,300 clients, securing contracts with major brands including Blinkit, CanFin Homes, BigBasket, Mumbai Metro One, Mahindra First Choice Wheels, and Hitachi India.
Growth outlook
Zaggle's Growth Plans and Innovations for FY25
Zaggle expects its sales to grow by 58–63% this year. To boost this further, it's exploring new business acquisitions. The company is using artificial intelligence (AI) and machine learning (ML) to make its operations faster and better for customers. Its chatbot "RazBot" already answers 60% of customer questions, and the goal is to handle over 99% in the future.
Zaggle recently launched a tool called BROME, which helps stores and branches manage expenses in real time. Large companies like Blinkit and Zepto are already using it. The company has also introduced special digital wallets for health, wellness, cafeteria, and gadgets. It has teamed up with travel companies like EaseMyTrip to offer combined travel and expense solutions.
Instead of just offering separate tools, Zaggle is now creating a full-service platform that includes rewards, expense tracking, purchase management (procure-to-pay), BROME, and vehicle (fleet) services. This helps clients earn more by offering them more connected services.
Zaggle is also growing its partnerships, with big names like Mastercard, HDFC Bank, and Strada, to expand in India and overseas. The focus is on being more profitable by using AI, cutting costs, and selling high-margin products like BROME and fleet payment tools, which are expected to drive strong long-term growth. With new offerings like BROME and its travel & expense management software, Zaggle aims to provide end-to-end control over operational spending, helping clients simplify their workflows.
Valuation Perspective
Zaggle Prepaid Ocean Services Ltd. is positioned for substantial long-term value creation, targeting $1 billion (₹8,300 crore approx.) in revenue within the next 5–7 years. With a revenue growth rate exceeding 63% in FY24 and an exceptionally low annual churn rate below 1.5%, the company demonstrates strong operational resilience and customer loyalty. Its competitive moat—driven by proprietary software, exclusive bank partnerships, and deep corporate integrations, reinforces high entry barriers, pricing power, and client stickiness in the business expense management sector.
Current valuation
Zaggle reported a TTM revenue of ₹1,165 crore and a net profit of ₹75 crore. The stock trades at a market capitalization of ₹4,588 crore, with a TTM P/E of 61.4x and EV/EBITDA of 36.6x, reflecting market confidence in its growth trajectory. However, cash flow conversion remains a focus area due to delayed payouts from large banks and enterprise clients. Management expects improvements as scale benefits materialize.
Forward valuation & growth potential
If the company achieves its ₹8,300 crore revenue target with an EBITDA margin of 9-10%, EBITDA could range between ₹745–830 crore. Applying a 20x EV/EBITDA multiple, Zaggle’s enterprise value could reach ₹13,200–16,600 crore, significantly higher than its current valuation.
Assuming net profit margins remain steady at ~6.5%, projected net profit would be approximately ₹540 crore, implying a future P/E of 24.4x at a ₹13,200 crore market capitalization. While current cash flow challenges persist (negative price-to-cash-flow at -55.4x), improved working capital management and stronger cash conversion could act as key revaluation catalysts.
What makes Zaggle unique?
Zaggle stands out for its integrated, sector-agnostic spend management platform that combines proprietary SaaS solutions, a broad suite of financial products, and strategic partnerships to serve a diverse client base. Its unique value lies in high customer retention, rapid innovation, and a proven ability to scale through both organic growth and targeted acquisitions-making it a leader in India’s B2B fintech space.
Disclaimer: The information provided in this blog is for informational purposes only and should not be construed as financial, investment, or trading advice. Always conduct your research and consult with a qualified financial advisor before making any investment decisions. Past performance is not indicative of future results.
