The shine is wearing off fast for One MobiKwik Systems. The fintech firm’s stock dropped as much as 8% intraday to Rs 247 on the NSE today. Why? The six-month lock-in period for pre-IPO shareholders ended — making 3.8 crore shares now eligible for trade.
This doesn’t mean all shares will be dumped at once. But it does mean early investors are now free to cash out. And when that kind of supply opens up in a struggling stock, markets react.
By 1:10 pm, the stock was down 7.6% at Rs 249. It has fallen 58% since the start of the year.
From market darling to market dud?
Let’s rewind. MobiKwik made a dream debut — listing at a 58% premium over its IPO price of Rs 279. At one point, it touched Rs 698.
But that was short-lived.
Since then, the stock has shed a brutal 64% from its peak. And the end of the lock-in comes at a bad time. Because the company’s financials are not doing it any favors.
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Q4 FY25 paints a worrying picture
In the March quarter of FY25, One MobiKwik Systems reported a net loss of Rs 56 crore. That’s an 83x jump from the same period last year. Yes, 83 times.
Revenue from operations dipped slightly to Rs 267.7 crore, down from Rs 269.4 crore QoQ. Meanwhile, EBITDA loss widened to Rs 56.5 crore from Rs 47.6 crore in the previous quarter.
So while the top line is barely holding, the bottom line is bleeding.
What now for MobiKwik?
Investors are jittery. The fintech space is heating up, but competition is fierce. MobiKwik has failed to deliver consistent growth or profit. With the lock-in over, the pressure is only increasing.
Still, just because shares can be sold doesn’t mean everyone will. Some long-term believers may hold. But the market isn’t waiting to find out.
This is a key moment for One MobiKwik Systems. If it can’t rein in losses or show a clear growth path soon, more downside may follow. Investors now want hard numbers, not hype.
Disclaimer:
This article is for informational purposes only and does not constitute investment advice. Please consult a certified financial advisor before making any investment decisions.
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