SoftBank-backed business-to-business (B2B) commerce and lending platform OfBusiness reported a 7% decline in its FY26 revenues after exiting low-return categories, while deeper manufacturing integration widened margins and cash generation strengthened ahead of an imminent IPO (initial public offering).
Consolidated revenues fell to Rs 20,645 crore from Rs 22,241 crore in FY25, while profit after tax increased 21% to Rs 724 crore from Rs 597 crore, OfBusiness said in a statement on Wednesday. Net profit margin widened to 3.5% from 2.7%. The commerce unit reported revenues of Rs 19,174 crore, virtually flat after adjusting for discontinued operations. Its Ebitda (earnings before income, tax, depreciation and amortisation) rose 34% to Rs 769 crore from Rs 575 crore, with the margin expanding to 4% from 2.6%, OfBusiness said.
The divergence between revenues and profits reflects OfBusiness’ decision to prioritise higher-margin, cash-generative businesses ahead of its stock-market debut. It had earlier targeted a $750-million-to-$1-billion IPO in the second half of 2025, and converted into a public company in January that year, but later deferred the filing. The company is expected to file for its IPO in two to three months , a person aware of the matter said.
“The focus remains on generating higher operating cash flows,” cofounder and chief executive Asish Mohapatra said. “FY27 will be a pivotal year for us as returns from prior investments play out.”
OfBusiness said its operating cash flow from commerce increased to Rs 1,302 crore from Rs 715 crore, while free cash flow turned positive at Rs 390 crore. Consolidated net worth stood at Rs 10,300 crore, and liquidity exceeded Rs 2,000 crore.
Oxyzo, the group’s lending arm, ended FY26 with assets of Rs 11,822 crore, up 28%, and a return on assets of 3.8%. Gross non-performing assets stood at 0.74%, as the lender maintained asset quality while expanding its book.
OfBusiness last raised $325 million from Alpha Wave Global, Tiger Global, and SoftBank Vision Fund in December 2021 at a $5 billion valuation.
In October 2024, ET reported that Zodius Capital had earned more than $100 million on its initial $8 million investment in OfBusiness in late 2016. Its other backers include Z47, Norwest Venture Partners, and Creation Investments.
Founded in 2015 by Mohapatra, Ruchi Kalra, Vasant Sridhar, Bhuvan Gupta, and Nitin Jain, OfBusiness supplies raw materials across metals, chemicals, apparel, and food processing sectors to small and medium enterprises, and finances them through Oxyzo. It manufactures about 45% of the products it sells.
BidAssist, its tender-intelligence platform, has crossed 1.5 million users and aggregates more than 50,000 live tenders daily. OfBusiness said its workforce had crossed 30,000, doubling over the year as apparel operations expanded in south India.
