Inc42 reports that the second quarter of fiscal 2027 marked a period of broadened profitability for India’s new-age technology sector, even as the festive shopping season began with muted consumer enthusiasm. According to the publication, nine of the eleven large listed tech companies with market capitalizations exceeding ₹10,000 crore reported net profits, with the combined bottom line of these firms improving by approximately ₹1,100 to ₹1,400 crore year-on-year. This financial performance indicates that businesses in the e-commerce, fintech, and logistics sectors successfully absorbed macroeconomic headwinds and expanded their topline growth while enhancing profitability metrics.
The fintech segment emerged as the strongest performer, with all major companies in the sector reporting profits and EBITDA growth outpacing revenue growth. Inc42 highlights that firms such as Paytm, Pine Labs, and PB Fintech are increasingly deriving value from deeper monetization of existing customer bases rather than relying solely on payment volumes. For instance, Paytm’s financial services distribution now contributes roughly a third of its revenue, reducing its dependence on core payment processing. However, the sector faces regulatory uncertainties, particularly regarding the proposed merchant discount rates on UPI transactions, which could alter the economic landscape for payment companies in the coming quarters.
In the logistics sector, companies focused on capacity building ahead of the festive rush, resulting in improved operating leverage. Shadowfax reported a 57% rise in revenue, with express and hyperlocal orders growing nearly 70%, while Delhivery saw express shipments grow 32% against 22% revenue growth. Inc42 notes that Shiprocket turned profitable, reporting a net profit of ₹60 lakh compared to a loss of ₹20.3 crore in the same period last year. These improvements suggest that incremental shipment volumes are beginning to offset pricing pressures and rising costs associated with fuel and last-mile delivery.
Convers, the e-commerce sector displayed the widest divergence in performance. While consumer brands like Nykaa and Lenskart reported significant profit growth supported by margin expansion, marketplace operators such as Meesho continued to report losses, although its net loss narrowed by 68%. Inc42 attributes this variance to differences in scale, cost structures, and monetization strategies across the segment. The publication concludes that the market is increasingly rewarding earnings delivery over growth narratives, with domestic institutions increasing participation in these stocks as foreign investors reduce their exposure.