Zeta, a homegrown banking-technology company that provides software infrastructure to financial institutions, is targeting full-year profitability in its global business in fiscal year 2027 (FY27), as customers it spent years onboarding and building technology for move into the scaling phase, top executives told Mint.
The company has already reported several quarters of operational profitability in its global business, while its India business has been profitable for more than three years, said Ramki Gaddipati, chief executive Asia Pacific, global chief technology officer and co-founder of Zeta, on the sidelines of the Global Fintech Fest held in Mumbai recently.
“This year will be a full year of profitability,” Gaddipati said.
The company currently has annual revenue of more than $100 million, with roughly 75-80% coming from the US and 20-25% from India. While the US is its larger revenue market, India remains strategically important because of the depth of its bank relationships, deal pipeline and growth prospects.
Zeta has long sales and implementation cycles, with revenue scaling only after a solution goes live and customers add users and transaction volumes. “As the fruits mature, you start getting the results,” said Sivaram Kowta, president, Zeta India.
Once a solution goes live, revenue grows as customers add users and transaction volumes. Zeta’s focus, Gaddipati said, is on large, end-to-end technology projects rather than small pilots.
Earlier last year, the banking software provider raised $50 million from US-based Optum, a subsidiary of UnitedHealth Group, at a valuation of $2 billion.
Founded in 2015, by Bhavin Turakhia and Gaddipati, Zeta onboards banks for an end-to-end technological revamp.
Bigger bank bets
In October last year, Mint reported that Zeta was also its India business through large bank partnerships.
Its full-stack platform powers core banking systems, credit card issuance and digital banking applications. Its India journey took off with , which turned to Zeta to rebuild its PayZapp app and build a second credit card issuance platform, in addition to its existing one, as part of a broader effort to strengthen its consumer-facing technology stack.
The partnership marked a milestone for Zeta, which had earlier worked with RBL Bank, Axis Bank and IDFC First Bank on more limited projects such as API integrations and authentication systems.
Zeta’s platform can power products including credit cards, debit cards, UPI payments and digital banking services. But large new partnerships also require significant upfront investment in people and implementation.
“New customers bring in both a lot of revenue and a lot of work,” Gaddipati said.
Agentic commerce, DPDP push
Agentic commerce is emerging as another potential growth area, particularly as banks prepare for AI agents to make payments on behalf of customers.
Zeta believes the industry has so far focused largely on merchants and payment networks. The banking side will also need systems to manage consent, authentication, risk and control when customers allow AI agents to transact using their cards and accounts.
“For the future, for sure, it’s a large one,” Gaddipati said, referring to agentic commerce as a growth driver.
The could provide another opportunity.
The framework could increase demand for technology that helps banks manage customer data and consent. Zeta is not positioning itself as a standalone DPDP compliance provider. Instead, it is building the requirements into its banking products.
Its systems can, for example, capture consent when customers share information while applying for a credit card and control how that data is stored and accessed.
“Any product that we do, it will be DPDP compliant,” the company said.