PhonePe is rewriting India’s fintech playbook ahead of its blockbuster IPO. The latest DRHP update with SEBI unveils a merchant network of epic proportions: 47.19 million registered businesses as of September 2025, spanning 98.61% of the country’s pincodes.
This isn’t hype—it’s dominance. Representing 77-80% of India’s trade and services merchants, PhonePe’s ecosystem boasts 11.31 million monthly active merchants in March 2025, or 54% of active UPI merchants nationwide. Engagement metrics tell the real story: daily active rates climbed from 44% in early 2023 to over 60% by late 2025.
At the heart lies a robust hardware play. 9.19 million devices serve as multifunctional hubs—processing payments while acting as smart communicators for merchant alerts and updates. Backed by 25,000+ internal staff and 31,000 agents, the focus on rural penetration is paying dividends.
Diversification shines brightest in lending. Using rich transaction insights, PhonePe enables collateral-free loans via partners. Disbursements exploded from a mere 110 million rupees in FY23 to 45 billion in FY25. H1 FY26 loan revenue already hit 2.88 billion rupees, signaling explosive growth.
Payments remain the bedrock, with FY25 revenue of nearly 20 billion rupees from merchants—28% of total ops income. Annual TPV nears 15 trillion, cementing PhonePe’s pivot from payments processor to comprehensive financial powerhouse. As the IPO looms, this scale positions it as a must-watch for global investors.