JFS’ Profitability Flex, Reo.Dev Bags $11 Mn & More

Jio Financial Services’ Bumper Q1

It was a profitable Q1 for Jio Financial Services. Buoyed by a humming lending engine and healthy growth across all its other verticals, the company crossed the ₹2,000 Cr revenue mark. However, surging expenses played spoilsport as JFS continued to chase its super app vision.

Here is a quick snapshot of JFS’ Q1 FY27 numbers:

• Net profit zoomed 2.6X YoY to ₹830.3 Cr
• Operating revenue surged 227% YoY to ₹2,005 Cr
• Total expenses rose 291% YoY to ₹1,015.8 Cr

The Credit Engine: The NBFC arm was the main driver of JFS’ revenue surge. Jio Credit aggressively scaled its loan book and disbursements, pushing AUM past the ₹30,600 Cr mark. That growth translated into net interest income of ₹257 Cr in Q1 and a profit of ₹96 Cr for the vertical. Its healthy Q1 capital adequacy and rising borrowings suggest that JFS is building the balance-sheet strength needed for future expansion.

Steady Payments: The payments vertical processed healthy transaction volumes, utilising strong operating leverage and margin expansion to bring in highly profitable fee income. Meanwhile, the payments bank arm continued its turnaround, expanding both customer deposits and its overall user base. 

The Wealth Tech Dominance: The asset management and insurance businesses also saw healthy traction during the quarter. While the JioBlackRock asset management JV expanded its AUM to ₹18,412 Cr, the Allianz-Jio Reinsurance venture completed its first full quarter with ₹266 Cr in premiums. 

However, the growth came at a heavy premium. Expenses zoomed due to skyrocketing finance costs and rising staff expenses to anchor its super app infrastructure. While JFS appears to be absorbing this near-term overhead to capture market share, here is how JFS fared on the financial front in Q1 FY27… 

From The Editor’s Desk

Reo.Dev Bags $11.3 Mn

• The AI-led sales intelligence startup has raised about ₹109 Cr in its Series A round, led by Elevation Capital, to expand sales and marketing operations in the US and accelerate product development.
• Founded in 2023, Reo.Dev operates an AI-powered sales intelligence platform for SaaS companies. It claims to serve 200+ customers across over 40 countries, with nearly 66% revenue coming from the US. 
• The fundraise comes amid growing investor interest in AI startups. As per Inc42 data, homegrown AI players raised $676 Mn across 57deals in the first six months of 2026. Earlier this week, Emergent also turned a unicorn after raising a $130 Mn round.

Aurum To Acquire Housing.com

• The board of the listed real estate tech company has approved the acquisition of a 100% stake in the proptech marketplace from its Australia-based parent, REA. The transaction values Housing.com’s parent, Locon Solutions, at about ₹458.1 Cr.
• Aurum will acquire the listings platform via a share swap, issuing 1.98 Cr new shares to REA at ₹231.42 apiece. Post the deal, REA India’s stake in Aurum will jump to 24.9% from the current 5.54%, making it one of the company’s largest shareholders. 
• Separately, Aurum PropTech will issue 51 Lakh convertible warrants worth up to ₹118 Cr to its promoter entity, Aurum RealEstate Developers. The warrants can be converted into equity shares within 18 months, allowing the promoter to infuse fresh capital.

Ex-ISRO Boss Joins Agnikul’s Board

• The spacetech startup has onboarded former ISRO chairman Somanath S as an observer to its board. The appointment comes as Agnikul undertakes its second space mission, which will involve the recovery of an orbital-class rocket booster.
• The mission will showcase the two-stage Agnibaan configuration in which the first-stage booster, after separation, will attempt a controlled descent and ocean recovery. At the same time, the upper stage will demonstrate extended on-orbit capability.
• Founded in 2017, Agnikul builds customisable rockets via 3D printers to launch small satellites. Having already completed the first mission of its homegrown rocket Agnibaan SOrTeD in 2024, the startup is eyeing a piece of the $350 Bn global space industry.

Domestic Funds Bet On Meesho

• After early foreign backers trimmed their stakes following the expiry of the post-IPO lock-in period, domestic institutional investors stepped in and increased their exposure to the ecommerce major in Q1 FY27.
• During the quarter, 17 foreign companies exited the company’s cap table, reducing the number of such investors to 50. Overall, foreign company holdings (excluding FPIs and foreign nationals) declined to 62.05% from 65.51% at the end of March. 
• Domestic shareholders owned 8.89% of Meesho at the end of June as against 5.55% three months earlier. Rising domestic ownership is viewed as a positive sign as it reflects growing confidence among local investors and reduces dependence on foreign capital.

WeWork India In The Red In Q1

• The coworking giant reported a net loss of ₹4.1 Cr in Q1 FY27, slipping back into the red after three consecutive profit-making quarters. This came despite operating revenue rising 28% YoY to ₹683.8 Cr during the quarter.
• WeWork India attributed the loss to its transition to Ind-AS accounting standards. The company claimed that its net profit for the quarter surged to ₹53.2 Cr, as per IGAAP- equivalent basis.
• Meanwhile, the coworking giant’s EBITDA improved to ₹454.8 Cr, up 31% YoY, while total expenses jumped 26% to ₹704.7 Cr from ₹559.5 Cr in the year-ago quarter. 

Inc42 Markets

Inc42 Startup Spotlight

How The Sweet Change Is Developing Next-Gen Of Sugar Alternatives 

With diabetes and metabolic disorders on the rise, more consumers are looking beyond sugar. But many sweeteners come with trade-offs like gut issues, odd aftertastes or ultra-processed labels. The Sweet Change is trying to re-engineer sweetness with gut-friendly alternatives.

Substituting Sugar: Founded in 2024, The Sweet Change focuses on clean-label sugar substitutes for health-conscious consumers. The D2C brand’s flagship sweetener blends monk fruit, allulose and prebiotic guar fibre. Its products are aimed at people who want to cut sugar without compromising on taste or overloading on synthetic additives.

No To Synthetics: Unlike many category peers that rely heavily on erythritol, it claims to avoid erythritol, artificial ingredients and fillers altogether. The formulation is designed to be gut-friendly while mimicking sugar’s sweetness curve and reducing the bitter or metallic aftertaste common in sugar substitutes.

Healthy Early Traction: Within a year of launch, the brand claims to have generated over ₹1.7 Cr in revenue, fulfilled more than 15,000 orders, and clocked 84% month-on-month compounded revenue growth over the last three months. Aided by the launch of its sweetener drops, it claims to be witnessing strong early pull on digital channels.

Operating in India’s $650 Mn sugar substitutes market, can The Sweet Change make sugar substitutes a default choice for Indian households?

Infographic Of The Day

From Mukesh Bansal and Binny Bansal to Bhavin Turakhia and Mukund Jha, a growing number of serial entrepreneurs are betting on AI for their next venture. Here’s all about it…

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