Fintech company One97 Communications, which operates under the Paytm brand, on Friday reported a narrowing of consolidated loss to Rs 291.7 crore in the second quarter ended September 30, 2023.
Paytm had posted a loss of Rs 571.5 crore in the same period a year ago
Fintech company One97 Communications, which operates under the Paytm brand, on Friday reported a narrowing of consolidated loss to Rs 291.7 crore in the second quarter ended September 30, 2023.
The company had posted a loss of Rs 571.5 crore in the same period a year ago.
The consolidated revenue from operations of the company increased by about 32 per cent to Rs 2,518.6 crore during the reported quarter from Rs 1,914 crore in the September 2022 quarter.
"We continued our momentum with 32 per cent YoY revenue growth to Rs 2,519 crore, led by an increase in GMV, merchant subscription revenues, and growth of loans distributed through our platform," the company said in a statement.
The company posted an EBITDA (earnings before interest, taxes, depreciation, and amortization), before ESOP cost, of Rs 153 crore.
Paytm's contribution profit grew 69 per cent during the reported quarter to Rs 1,426 crore from Rs 843 crore in September 2022 quarter on account of reduction in promotional cashbacks and other expenses.
The company calculates operating profit after excluding payment processing charges, promotional cashbacks and incentives and other expenses.
The gross merchandise value of Paytm grew 41 per cent on a Y-o-Y basis to Rs 4.5 lakh crore during the reported quarter from Rs 3.18 lakh crore in the September 2022 quarter.
The average monthly transacting user base of the company grew 19 per cent to 9.5 crore and total transactions on the platform grew by 59 per cent to 1,090 crore on a Y-o-Y basis.
Paytm's revenue from financial services and others grew 64 per cent YoY to Rs 571 crore in the reported quarter.
"The number of loans distributed through our platform grew to 1.32 crore, an increase of 44 per cent YoY, while the value of loans distributed surged to Rs 16,211 crore, up by 122 per cent YoY across our three product offerings — Paytm Postpaid, Personal Loans, and Merchant Loans," the statement said.
The value of Postpaid loans more than doubled to Rs 9,010 crore during the reported quarter from Rs 4,050 crore a year ago.
The personal loans disbursed from the Paytm platform grew 91 per cent to Rs 3,297 crore from Rs 2,055 crore basis while merchant loans jumped over 2.5 times to Rs 3,275 crore from Rs 1,208 crore on a Y-o-Y basis.
Paytm said that following RBI's direction, Paytm Payments Banks Limited stopped onboarding new customers with effect from March 11, 2022, and continued to engage with the banking regulator on the matter.