India’s digital lending industry is witnessing another period of rapid expansion as consumers increasingly turn to online platforms for personal loans and other credit products. Several new-age fintech companies reported revenue growth of approximately 40–50% in the September 2026 quarter, supported by higher loan disbursements and rising demand for unsecured credit, particularly among younger borrowers. The performance reflects the growing role of technology-led lenders in India’s retail credit market.
Digital lender Kissht reported a 44.7% year-on-year increase in revenue from operations to ₹732 crore, while Moneyview recorded 41% growth to ₹1,120 crore. MobiKwik’s financial services revenue increased 41.8% to ₹87 crore, and Paytm’s financial services distribution revenue rose 49.3% to ₹912 crore. Although these companies use different business models and revenue classifications, their results point to increasing demand for digital financial services.
Key Takeaways
- Kissht’s revenue from operations increased 44.7% to ₹732 crore in the September quarter.
- Moneyview reported 41% revenue growth to ₹1,120 crore.
- MobiKwik’s financial services revenue rose 41.8% to ₹87 crore.
- Paytm’s financial services distribution revenue increased 49.3% to ₹912 crore.
- Growth was supported by stronger loan disbursements and demand from younger borrowers.
- Digital NBFCs sanctioned personal loans worth ₹64,656 crore in Q1 FY27, up 50% year-on-year.
- Moneyview and Kissht also reported substantial quarterly profits.
- Rising unsecured lending creates opportunities as well as credit-quality and regulatory risks.
Digital Lenders Report 40–50% Revenue Growth
The September quarter results show that India’s digital lending businesses are benefiting from higher demand for consumer credit.
According to The Economic Times, several listed new-age fintech companies recorded revenue growth of between 40% and 50% in their lending and financial services businesses.
The reported figures include four companies with different operating models.
Digital Lenders’ September Quarter Performance
| Company | Revenue category | September quarter revenue | Year-on-year growth |
|---|---|---|---|
| Kissht | Revenue from operations | ₹732 crore | 44.7% |
| Moneyview | Revenue from operations | ₹1,120 crore | 41% |
| MobiKwik | Financial services revenue | ₹87 crore | 41.8% |
| Paytm | Financial services distribution revenue | ₹912 crore | 49.3% |
These figures should not be treated as a direct ranking of lending businesses by size. Kissht and Moneyview report overall operating revenue, while MobiKwik and Paytm figures refer to specific financial services categories.
Nevertheless, the growth rates indicate that digital lending and related financial services are becoming important contributors to fintech companies’ businesses.
Why Is Demand for Digital Loans Increasing?
One of the main factors supporting the sector is the growing use of digital platforms to access personal credit.
Traditional loan applications can involve documentation, branch visits and longer approval processes. Digital lenders use online applications, technology-enabled underwriting and electronic verification to simplify parts of the borrowing process.
Customers can apply for loans through mobile applications and websites, submit required information digitally and receive decisions through online systems.
Several factors are contributing to the growth of this market.
1. Younger Borrowers Are Using Digital Credit
Younger consumers are an important customer segment for digital lenders.
Many borrowers are comfortable using mobile applications for payments, shopping, banking and other financial activities. This familiarity can make digital loan applications more accessible.
Digital lenders also use credit-bureau information and other permitted data sources to evaluate applicants who may have limited borrowing histories.
However, younger borrowers can have different income stability and credit experience from older customers. Lenders need to account for these differences when assessing repayment capacity.
2. Faster Loan Applications
Digital lending platforms have reduced several administrative steps associated with loan applications.
Online identity verification, electronic documentation and automated underwriting can help lenders process applications more quickly.
This convenience is particularly relevant for borrowers seeking relatively small personal loans.
However, a faster application process does not remove the need for appropriate credit checks, transparent pricing and responsible lending practices.
3. Expansion Beyond Major Cities
Digital platforms can reach borrowers who may not have convenient access to traditional banking branches.
This gives lenders an opportunity to serve customers in smaller cities and towns.
According to the Fintech Association for Consumer Empowerment (FACE), around 40% of digital NBFC personal-loan sanction value in Q1 FY27 went to borrowers in Tier III cities and beyond.
This suggests that digital lending is expanding beyond India’s largest urban markets.
Digital NBFCs Sanction ₹64,656 Crore in Personal Loans
The broader lending market provides additional context for the revenue growth reported by fintech companies.
According to FACE’s report on digital personal lending for April–June 2026, digital non-banking financial companies sanctioned 3.4 crore personal loans worth ₹64,656 crore during Q1 FY27.
The value of sanctioned loans increased 50% year-on-year, while the number of loans sanctioned increased 14%.
This difference suggests that the average loan amount was also rising.
| Digital lending metric | Q1 FY27 |
|---|---|
| Personal loans sanctioned | 3.4 crore |
| Total sanctioned value | ₹64,656 crore |
| Average loan size | ₹18,802 |
| Year-on-year growth in sanctioned value | 50% |
| Year-on-year growth in loan volume | 14% |
| Outstanding digital personal-loan portfolio at June 2026 | ₹1.54 lakh crore |
| Year-on-year growth in outstanding portfolio | 28% |
The figures indicate that digital NBFCs are expanding both their customer reach and the value of credit being distributed.
Loans above ₹50,000 accounted for approximately 60% of sanctioned value during the quarter, according to the FACE data cited by Business Standard.
This suggests that the market is not limited to very small emergency loans. Digital lenders are also serving borrowers seeking larger personal-credit amounts.
Moneyview and Kissht Report Strong Quarterly Revenue
Two companies highlighted in the September-quarter results are Moneyview and Kissht.
Both reported operating revenue growth of more than 40%, although their businesses and financial structures differ.
Moneyview Revenue Increases 41% to ₹1,120 Crore
Moneyview reported revenue from operations of ₹1,120 crore in the September 2026 quarter, compared with approximately ₹794 crore in the corresponding period a year earlier.
Its consolidated net profit increased more than fivefold to approximately ₹201 crore.
The company’s impairment charge on financial instruments increased 18.7% to ₹286 crore, while finance costs rose 25.6% to ₹194 crore.
Impairment charges represent expected credit losses associated with loans and other financial assets.
The fact that impairment expenses grew more slowly than revenue is an important part of Moneyview’s reported performance. However, credit costs can change as loan portfolios mature, so a single quarter does not establish long-term asset quality.
Moneyview’s results indicate that its revenue expansion was accompanied by a substantial increase in reported profitability.
Kissht Revenue Rises 44.7% to ₹732 Crore
Kissht reported revenue from operations of ₹732 crore, representing 44.7% growth year-on-year.
The company also reported net profit of approximately ₹125 crore for the quarter, up 100% from the year-ago period.
Its assets under management (AUM) increased 68% year-on-year to ₹9,317 crore.
AUM represents the outstanding loan assets managed by a lender. It provides an indication of the size of the lending portfolio, rather than the amount of revenue generated during a particular quarter.
Kissht’s results show that its business is expanding through a combination of higher revenue and a larger loan portfolio.
The company has also emphasised disciplined underwriting and collections as it scales its unsecured personal-loan business.
MobiKwik and Paytm Expand Financial Services Revenue
Payments companies are also using their customer networks and technology infrastructure to expand financial services.
Both MobiKwik and Paytm have developed businesses that connect consumers and merchants with financial products.
MobiKwik’s Financial Services Revenue Grows 41.8%
MobiKwik reported financial services revenue of ₹87 crore in the September quarter, representing year-on-year growth of 41.8%.
The company operates a digital financial services platform that includes lending distribution and other credit-related services.
Its lending business works with financial institutions and lending partners to provide credit products to eligible customers.
MobiKwik’s growth illustrates how payments platforms can use existing customer relationships to develop additional revenue streams.
However, financial services revenue should be distinguished from total company revenue and the value of loans disbursed.
Paytm’s Financial Services Distribution Revenue Rises 49.3%
Paytm reported financial services distribution revenue of ₹912 crore, up 49.3% year-on-year.
Its financial services business includes the distribution of products such as loans and other financial services through its technology platform and lending partners.
The company does not operate every loan product as the direct lender. Its distribution model connects customers with regulated financial institutions.
This distinction is important because revenue from distributing a financial product differs from interest income earned by a lender that owns the loan on its balance sheet.
For Paytm, financial services distribution provides another source of revenue alongside its payments and merchant services businesses.
RBI Data Shows the Growing Role of Fintech Lenders
The Reserve Bank of India’s financial stability reporting has also highlighted the growing presence of fintech companies in India’s small-ticket personal-loan market.
According to the RBI’s Financial Stability Report, fintech firms accounted for 56.8% of the small-ticket personal-loan segment below ₹50,000 by March 2026.
Their credit expansion in this segment was 41.6%, compared with overall segment growth of 20.1%.
The report also identified potential risks.
Delinquencies in the segment stood at 6.4%, while unsecured loans accounted for approximately 70.5% of fintech firms’ total loan books.
Around half of these unsecured loans were extended to borrowers under 35.
These figures show why the growth of digital lending needs to be assessed alongside credit quality.
Growth and Risk in Fintech Lending
| Indicator | RBI-reported figure |
|---|---|
| Fintech share of personal loans below ₹50,000 | 56.8% |
| Credit expansion in this segment | 41.6% |
| Overall segment growth | 20.1% |
| Delinquencies in the segment | 6.4% |
| Unsecured loans as share of fintech loan books | 70.5% |
| Share of unsecured loans to borrowers under 35 | Around 50% |
The figures refer to the RBI’s March 2026 reporting period and should not be confused with the September-quarter revenue data.
They nevertheless highlight the importance of underwriting standards, borrower affordability and repayment discipline as digital lenders expand.
Credit Risk Remains a Major Challenge
Unsecured loans do not require borrowers to pledge specific assets as collateral.
Personal loans and many small-ticket digital loans fall into this category.
This makes them convenient for consumers but increases the importance of lenders’ ability to assess creditworthiness and repayment capacity.
If borrowers lose income or take on multiple loans from different institutions, repayment difficulties can increase.
Lenders must therefore monitor several indicators:
- Delinquency rates and overdue repayments.
- Credit losses and impairment charges.
- Borrower income and repayment capacity.
- Multiple borrowing across financial institutions.
- Loan concentration across customer segments.
- Collection efficiency and recovery rates.
The RBI has previously tightened risk-weight requirements for certain unsecured consumer-credit exposures, reflecting concerns about rapid growth in the segment.
Digital lenders are consequently operating in a market where growth opportunities need to be balanced against regulatory requirements and credit-risk management.
What the Growth Means for India’s Fintech Industry
The latest results suggest that lending is becoming an increasingly important revenue driver for India’s fintech companies.
Payments platforms can generate income through transaction services, merchant products and financial services distribution. Lending-focused companies can earn interest and related income from their loan portfolios.
These businesses have different revenue structures, but both benefit from the increasing use of digital financial services.
The sector’s expansion also creates opportunities for banks and NBFCs that partner with technology companies to distribute credit.
However, digital lending companies must maintain appropriate relationships with regulated lenders and comply with applicable RBI rules.
The long-term success of the industry will depend on whether companies can sustain customer growth without allowing credit losses and funding costs to rise disproportionately.
The Bigger Picture
The 40–50% revenue growth reported by several digital lenders in the September 2026 quarter reflects the expanding role of technology-led credit distribution in India. Higher loan disbursements, younger borrowers and demand beyond major cities are helping fintech companies build larger financial services businesses. Moneyview and Kissht’s quarterly profits also indicate that revenue expansion can coincide with stronger earnings when costs and credit losses are managed effectively.
However, rapid growth in unsecured lending brings risks that cannot be ignored. The RBI’s data on small-ticket personal loans shows that fintech lenders have gained a substantial market share, while delinquencies remain an important concern. The next phase of digital lending will depend on balancing credit access with responsible underwriting, transparent borrower pricing and effective collections. The strongest long-term businesses will need to demonstrate not only faster revenue growth but also resilient loan portfolios and sustainable profitability.
Frequently Asked Questions
1. How fast are digital lenders growing in India?
Several new-age fintech companies reported 40–50% year-on-year growth in lending and financial services revenue during the September 2026 quarter.
2. How much revenue did Kissht report?
Kissht reported revenue from operations of ₹732 crore, representing 44.7% year-on-year growth.
3. What was Moneyview’s revenue in the September 2026 quarter?
Moneyview reported revenue from operations of ₹1,120 crore, up 41% from the year-ago period.
4. How much did MobiKwik earn from financial services?
MobiKwik’s financial services revenue increased 41.8% to ₹87 crore during the September quarter.
5. How much did Paytm’s financial services distribution revenue grow?
Paytm’s financial services distribution revenue increased 49.3% year-on-year to ₹912 crore.
6. Why is demand for digital loans increasing?
Faster online applications, mobile-based access, automated credit assessment and growing demand among younger borrowers are supporting digital lending.
7. What are the main risks facing digital lenders?
The main risks include borrower defaults, rising credit costs, multiple borrowing, unsecured-loan exposure, funding costs and regulatory changes.
8. How much personal credit did digital NBFCs sanction in Q1 FY27?
Digital NBFCs sanctioned 3.4 crore personal loans worth ₹64,656 crore during April–June 2026, according to the FACE report.
Looking Ahead
India’s digital lending market is likely to remain an important growth area for fintech companies as more consumers use online platforms to access credit. The September-quarter results from Kissht, Moneyview, MobiKwik and Paytm demonstrate the commercial potential of lending and financial services distribution. Expansion into smaller cities, improvements in digital underwriting and partnerships with regulated financial institutions could support further growth.
The bigger test will be maintaining credit quality as loan portfolios expand. Higher revenue and disbursements can strengthen a lender’s business, but rising defaults or funding costs can quickly weaken profitability. Future performance will therefore depend on how effectively digital lenders balance customer acquisition, responsible lending, collections and regulatory compliance.
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