NPCI's FY26 Net Profit Down 32% Amidst Rising Tax Outgo and BHIM Losses
The National Payments Corporation of India (NPCI) reported a 32.4% year-on-year decrease in net profit for fiscal year 2026, reaching ₹989.4 crore. The decline was primarily driven by a significant surge in tax expenses and widening losses at its BHIM app subsidiary.
The National Payments Corporation of India (NPCI) saw its net profit drop by 32.4% to ₹989.4 crore for the fiscal year ended March 2026. This compares to a net profit of ₹1,463.2 crore in the previous fiscal year, FY25.
The decrease in net profit was largely attributed to a substantial increase in tax expenses, which surged by 173.4% to ₹898.5 crore in FY26. This sharp rise in taxes offset a modest 5.4% growth in profit before tax, which reached ₹1,888 crore.
Despite the profit decline, NPCI's revenue from operations grew by 21.8% to ₹4,240 crore in FY26. The primary revenue stream, income from payment services, increased by 16.3% to ₹3,735.8 crore, accounting for over 88% of the operational revenue.
Further impacting the overall financial results, the net loss for NPCI BHIM Services Ltd, which operates the BHIM app, widened significantly to ₹390.6 crore from ₹68.1 crore in the prior year. Additionally, NPCI International Payments Ltd reported a loss of ₹19.4 crore, nearly doubling from FY25.