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Section 02

Operating Metrics

Data as on FY25 / H1 FY26 User growth, transaction volumes, TPV trends, merchant network

657.56M

Registered Users

46% of India's population

301.29M

Monthly Active Users

46% of registered users

237.75M

Monthly Active Customers

36% transact monthly

156M
Daily Active Users
52% of MAU

Operating Scale Overview

PhonePe operates at population-scale with 657.56 million registered users (H1 FY26) representing 46% of India's 1.4 billion population. The platform processed 90.3 billion customer-initiated transactions in FY25 with ₹132.7 trillion ($1.56T) in Total Payment Value. With 47.19 million merchants (77-80% of India's offline stores), PhonePe has built the largest merchant acceptance network among digital payment platforms, creating powerful network effects that reinforce its market leadership.

User Engagement Funnel (H1 FY26)

Funnel Analysis:

64% of registered users are yearly active (YAU).

46% of registered users are monthly active (MAU).

36% of registered users transact monthly (MAC).

24% of registered users are daily active (DAU).

User Base (M)

Drop-off

Source: PhonePe UDRHP-I (H1 FY26 / Sep 2025) Get the data

User Base Evolution (FY22 - H1 FY26)

Analyst View

Population-scale reach: 658M users = 46% of India covered in under 10 years.

High stickiness: 52% of monthly users engage daily — strong habit formation.

Monetization headroom: Only 36% transact monthly — large activation opportunity.

Growth inflection: User growth slowing (~6% H1 vs 16% FY24) as base matures.

Source: PhonePe UDRHP-I Get the data

Transaction Volume Growth

Analyst View

Unmatched scale: 133B transactions/year = ~365M payments processed daily.

Merchant mix improving: 32% of volume now merchant payments (vs 0% in FY22).

Flywheel in motion: 59% 3-year CAGR driven by network effects.

H1 run-rate: On track for 110B+ transactions in FY26.

Customer Transactions (B)

Merchant Transactions (B)

Source: PhonePe UDRHP-I Get the data

Total Payment Value (TPV) Growth

Analyst View

Massive throughput: ₹132.7T ($1.56T) processed in FY25 — 3x growth in 3 years.

Merchant payments surging: +55% YoY — faster than P2P, higher monetization potential.

Small ticket, high frequency: ₹1,469 avg — everyday payments, not big-ticket.

Revenue leverage: MDR on merchant payments = direct monetization path.

Customer TPV (₹T)

Merchant TPV (₹T)

Source: PhonePe UDRHP-I Get the data

Merchant Network Expansion

Metric	FY23	FY24	FY25	H1 FY26	Growth
Total Merchants (M)	31.5	38.6	44.87	47.19	+5.2%
Offline Merchants (M)	31.0	38.2	44.5	50.8	+14.2%
Online Merchants (K)	460	506	433	454	+4.9%
Store Coverage (%)	70%	75%	77-80%	80%+	+5pp
Device Deployment (M)	2.3	7.9	8.70	9.19	+5.6%
Monthly Active Merchants (M)	18.8	25.1	31.9	35.5	+11.3%

Source: PhonePe UDRHP-I Get the data

Operating Metrics Summary

Metric	FY23	FY24	FY25	H1 FY26
Registered Users (M)	455.41	534.97	618.40	657.56
Yearly Active Users (M)	301.12	349.02	402.90	420.74
Monthly Active Users (M)	207.52	252.42	290.33	301.29
Daily Active Users (M)	92.76	121.01	148.41	156.00
Yearly Active Customers (M)	207.81	250.15	290.24	305.51
Monthly Active Customers (M)	160.73	197.43	230.08	237.75
Daily Active Customers (M)	59.06	82.09	102.10	106.56
Customer Transactions (B)	39.67	62.36	90.27	53.40
Customer TPV (₹T)	₹69.55T	₹100.22T	₹132.70T	₹73.70T
Monthly Active Merchants (M)	11.43	11.45	11.31	11.11
Daily Active Merchants (M)	5.05	6.20	6.77	6.75
Merchant Transactions (B)	15.81	26.96	42.66	24.96
Merchant TPV (₹T)	₹7.55T	₹11.00T	₹15.00T	₹8.51T

Metric Definitions

Customer Metrics

Registered Users

Total unique users who have signed up with PhonePe by accepting the terms & conditions, as of the end of the reporting period.

Annual Active Users (AAU)

Count of unique Registered Users who have either opened the PhonePe app or initiated a transaction in the last 12 months from the last month of the reporting period.

Monthly Active Users (MAU)

Count of unique Registered Users who have either opened the PhonePe app or initiated a transaction in the last month of the reporting period.

Daily Active Users (DAU)

Daily average count of unique Registered Users who have either opened the app or initiated a transaction, averaged for the days of the last month of the reporting period.

Monthly Active Customers (MAC)

Count of unique Registered Users who have done at least one successful payment transaction in the last month of the reporting period.

Daily Active Customers (DAC)

Daily average count of unique Registered Users who have done at least one successful payment transaction, averaged for the days of the last month of the reporting period.

Transaction & Merchant Metrics

Customer Transactions

Total successful payment transactions by PhonePe customers in the reporting period.

Customer TPV

Total payment value of the Customer Transactions in the reporting period.

Monthly Active Merchants (MAM)

Count of unique Registered Merchants to whom at least one successful payment transaction was made in the last month of the reporting period.

Daily Active Merchants (DAM)

Daily average count of unique Registered Merchants to whom at least one successful payment transaction was made, averaged for the days of the last month of the reporting period.

Merchant Transactions

Total successful payment transactions made to Registered Merchants in the reporting period.

Merchant TPV

Total payment value of the Merchant Payment transactions made to Registered Merchants in the reporting period.

Note: All metrics are for the PhonePe Platform segment. "Last month" refers to the final month of the fiscal year or half-year reporting period. Source: PhonePe UDRHP-I, January 2026.

Disclaimer: This report is for informational purposes only and does not constitute investment advice, financial advice, trading advice, or any other sort of advice. The information provided should not be relied upon for making any investment decisions. Past performance is not indicative of future results. Always conduct your own research and consult with a qualified financial advisor before making any investment decisions.