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Axio, a fintech company founded in 2013 by Gaurav Hinduja and Sashank Rishyasringa, has reported impressive growth and significant financial improvements for FY24. The company achieved a 50% increase in revenue and a 95% loss reduction. Axio's innovative approach to democratizing credit access has resonated with millions of Indian consumers, particularly those traditionally underserved by the formal credit system.

When

In 2013, Gaurav Hinduja and Sashank Rishyasringa founded axio with a mission to democratize credit in India. Over the years, the company has grown significantly, offering financial products to a large segment of customers who traditionally lacked access to personal credit.

What

Axio’s main product is a checkout finance option that enables online shoppers to finance their purchases with ease and transparency. This product underwrites and approves customers instantly, allowing them to convert purchases into convenient EMIs. Axio has reached a large customer base, including around 40-50 million of the 250-300 million online shoppers in India who do not have credit cards.

Why

India is home to many hardworking individuals and ambitious dreamers, many of whom face an affordability gap. Axio aims to bridge this gap by making credit accessible to everyone, not just those traditionally deemed creditworthy. The company’s mission is to make credit worthiness universal, thereby supporting a larger volume of the customer segment that lacks personal credit products.

How

Axio’s success is built on its innovative products and strategic partnerships. Its embedded finance product is available across various leading platforms, including e-commerce, travel, electronics, home and kitchen, personal care, education, and health brands. Partners include Amazon, Decathlon, Xiaomi, and Policybazaar. The axio app, with over 13 million downloads, offers a mix of pay later, personal credit, and money management features, with over 60% of its customers located in non-metro areas.

Despite a challenging financial year for many in the fintech sector, axio demonstrated remarkable resilience. From FY22 to FY24, the company saw a 2.5x increase in customers, a 3.5x increase in disbursals, and a 5x growth in Assets under Management (AuM). Axio maintained a Non-Performing Assets (NPA) ratio of approximately 2%, showcasing its prudent risk management.

Now What

Looking forward, axio aims to triple its customer base by targeting the 200 million digitally native consumers in India, especially in Tier 2 and Tier 3 towns where consumption is rising. The company plans to continue building strategic partnerships with leading brands, banks, and other NBFCs. Axio’s goal is to become the financial partner of choice for digitally native customers, offering transparent products, appropriate leverage, and a variety of options to suit different needs.