Razorpay POS records 60% growth in FY23 after acquiring Ezetap

Fintech unicorn Razorpay reported a 60 per cent growth in its POS Business in FY23 following the acquisition of Ezetap (Razorpay POS) in 2022.

Razorpay POS witnessed a 40 per cent growth in its total payment volume (TPV) from April to October 2023 compared to the corresponding period of the previous year.

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The company said that 91 per cent of the cumulative TPV for this timeframe was attributed to UPI transactions at doorstep, while SMS Pay contributed 9 per cent. Another trend was the 21 per cent increase in the conversion of cash on delivery to digital payments, surpassing the transaction volume recorded from April to October 2022.

In August last year, Razorpay acquired a majority stake in Ezetap in a mix of cash and stock in a deal estimated at around $100 $120 million. The acquisition enabled the fintech major to extend its offerings to the offline world as well.

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Presently, Razorpay POS contributes nearly 10 per cent of Razorpay’s overall revenue. The platform has expanded to over 235,000 touchpoints in the fiscal year 2023. Additionally, new and continued strategic partnerships with banks like SBI, Yes Bank, IDFC, HDFC, and Axis have helped in augmenting the platform’s capabilities.

“Since the acquisition, Ezetap has experienced a remarkable transformation fueled by product innovation, revenue diversification, and strategic partnerships. We forged relevant partnerships with banks at critical junctures serving customers across 15,000+ pincodes in the country. All the while, our goal remains unchanged — to build for businesses and take care of all things payments for them while they do what they do best,” said Arpit Chug, Chief Financial Officer, Razorpay.