Shares of Zaggle Prepaid Ocean Services fell 20% on Monday, hitting the lower circuit at Rs 160.48 per share on the NSE. This price is the company’s fresh 52‑week low, following weaker earnings for the June quarter.
The company reported a 32.9% drop in consolidated net profit to Rs 17.53 crore for the first quarter ended June 30, 2026. In comparison, the April‑June quarter of the previous fiscal posted a net profit of Rs 26.11 crore.
On a sequential basis, profit fell 56.8% from Rs 40.60 crore in the March quarter (Q4 FY26). Revenue also declined 31.5% from Rs 617.91 crore in the preceding quarter.
Adjusted EBITDA margin contracted to 8.2% from 10.1% in the year‑ago period. However, revenue from operations for the quarter rose 27.5% to Rs 423.26 crore, up from Rs 331.96 crore in the corresponding quarter of the previous financial year.
Founder and Executive Chairman Raj P Narayanam said, "Q1 FY27 marks an important inflection point for Zaggle as we move from a decade of profitable growth into a phase of transformation through consolidation. Our focus is now firmly on optimising core operations, scaling AI across our platforms, and integrating our recent acquisitions – all while calibrating our capitalisation and instilling greater cash flow discipline to position the company for higher‑margin growth in the years ahead."
Zaggle attributed the margin compression to one‑time factors, including expenses related to the Dice acquisition such as transaction costs and relocation expenses for over 100 professionals. The company also noted that revenue from Dice contracts was not captured in the current quarter and is expected to be reflected from Q2 FY27 onwards.