Affle India Q1 2026 Results: Digital Ad-Tech Leader Delivers Double-Digit Growth Across Metrics

Affle India Limited has once again demonstrated its strength in the digital advertising technology space by posting a robust set of numbers for the first quarter of 2026. Backed by consistent operational performance and an expanding customer base, the company reported a 22% year-on-year (YoY) growth in net profit, signaling positive momentum in its growth trajectory.

With digital marketing spend rising globally and businesses shifting more of their budgets toward mobile engagement, Affle has carved out a niche by leveraging its AI-powered platforms. In Q1 2026, the company showed strong improvements not only in profits but also in sales, EBITDA, and earnings per share.

Here is a detailed breakdown of Affle’s Q1 2026 performance.

Revenue Soars by 19% YoY

Affle reported revenue of ₹621 crore in the June 2025 quarter, compared to ₹520 crore in the same period last year. This 19% growth in topline underscores the company’s growing ability to attract digital advertisers, particularly in mobile-led campaigns and programmatic advertising.

The increase was also sequential when compared to ₹602 crore in Q4 of the previous fiscal, suggesting steady quarter-on-quarter expansion despite macroeconomic fluctuations.

Affle’s strong revenue growth has largely been attributed to increased demand for its consumer platform business and success in penetrating deeper into tier-2 and tier-3 digital-first markets.

EBITDA Grows 34% YoY

Earnings before interest, taxes, depreciation, and amortization (EBITDA) rose by 34% YoY to ₹140 crore, up from ₹104 crore in Q1 2025. This sharp increase in operating profit indicates improved efficiency, better margin management, and a favorable shift in client mix toward higher-margin digital services.

Compared to the March 2025 quarter’s EBITDA of ₹134 crore, the company also managed to register a sequential gain—highlighting continued execution strength.

Net Profit Jumps 22% YoY

Net profit for Q1 2026 stood at ₹106 crore, up from ₹86.6 crore a year earlier, marking a 22% YoY growth. Sequentially, it improved slightly from ₹103 crore reported in Q4 of the previous fiscal.

This healthy net profit growth reflects Affle’s ability to manage operational costs while continuing to invest in innovation, technology partnerships, and global expansion. The company’s long-term strategy of scaling its platforms and staying ahead in the digital transformation curve is now paying off.

EPS Up by 21%

Earnings Per Share (EPS) for the quarter stood at ₹7.50, compared to ₹6.18 in Q1 2025—a 21% increase YoY. This also represents a modest sequential increase from ₹7.34 in the previous quarter.

The rise in EPS is encouraging for shareholders, as it indicates better returns on equity and validates the company’s focus on sustainable, long-term value creation.

Market Valuation and Financial Ratios

As of the latest update, Affle’s share price stands at ₹1,802 with a market capitalization of ₹25,331 crore. The company is currently trading at a Price-to-Earnings (PE) ratio of 63.2, which reflects high investor expectations based on its growth outlook.

While the PE multiple may appear rich, it is fairly consistent with other tech-driven, high-growth companies in the digital marketing and ad-tech space.

Strategic Highlights

Affle’s Q1 2026 performance can be attributed to a combination of strategic initiatives and market tailwinds:

• AI-led Advertising Technology: Affle continues to invest heavily in its AI-based platforms, which deliver personalized advertising at scale.

• Global Clientele Expansion: The company has successfully expanded its international client base, particularly in emerging markets across Southeast Asia, Middle East, and Africa.

• Strong Consumer Platform: Affle’s proprietary consumer platform is becoming a go-to solution for many app marketers seeking higher conversion rates.

• Regulatory Preparedness: Affle remains compliant with evolving privacy norms, including global data protection regulations, giving it a competitive advantage.

Challenges Ahead

Despite the strong numbers, Affle India faces some near-term challenges:

• Intense Competition: The global ad-tech market is becoming increasingly competitive with the entry of new-age startups and tech giants.

• Macroeconomic Volatility: Currency fluctuations and slower ad spends in certain geographies could affect margins.

• Valuation Sensitivity: A high PE ratio may create volatility during broader market corrections or sectoral re-ratings.

Still, Affle’s strong balance sheet, scalable platform, and innovation-led mindset provide a robust cushion against these headwinds.

Analyst Take: Future Outlook

Most analysts remain bullish on Affle India due to its consistent performance, leadership in mobile marketing, and high return metrics. The company’s Q1 2026 earnings confirm that it is well-positioned to benefit from rising mobile and digital consumption trends globally.

Going forward, the company is expected to:

• Enhance its presence in developed markets.

• Launch newer tools focused on deep consumer engagement.

• Drive monetization through first-party data analytics.

If Affle maintains its growth trajectory and continues margin improvement, there is a strong case for upward earnings revision in the coming quarters.

Key Financial Summary: Q1 2026

FAQs

Q1: What led to the profit growth of Affle India in Q1 2026?
Affle’s profit growth was driven by strong revenue gains from its consumer platform, operational efficiency, and increased adoption of AI-led mobile ad technologies.

Q2: Is Affle’s high PE ratio a concern for investors?
While the PE of 63.2 is high, it reflects the premium placed on Affle’s growth prospects. Long-term investors often accept higher valuations for innovative tech firms with scalable models.

Q3: How does Affle compare to other ad-tech firms in India?
Affle stands out for its mobile-first strategy, consistent profitability, and global expansion. While competition is rising, its tech stack and client retention set it apart.

Q4: What are the key risks facing Affle?
Key risks include macroeconomic uncertainty, regulatory changes in data privacy, and growing competition in the ad-tech space.

Q5: What can we expect from Affle in the next few quarters?
Analysts expect continued revenue growth, higher EBITDA margins, and potential global acquisitions to strengthen Affle’s platform and offerings.

About TOD News Desk:
TOD News Desk is a team of dedicated digital journalists who specialize in breaking down complex news across business, tech, and markets into simple, insightful stories. Our mission is to help readers stay ahead with timely, accurate, and helpful updates that matter.

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