Paytm’s net loss has increased to Rs 482 crore in the second quarter, Rise of 8% from last year
On Saturday, One97 Communications, the parent company of digital payments business Paytm, released its financial results for the second quarter (ending September 30), revealing that its net loss increased by 8.4% to Rs 474 crore, up from Rs 437 crore a year ago.
Paytm’s revenue increased by 64% year over year, mainly to a 52 percent increase in non-UPI payment volumes (GMV), according to an exchange filing on Saturday by One97.
Financial services grew at a faster rate than the rest of the economy, according to the statement.
Paytm’s management claimed in a statement that “we have maintained our growth momentum in our payments services business, aggressively grown our financial services business, and are on our way to pre-Covid volumes for Commerce and Cloud services.” With a cash equivalent and investable balance of 110 billion dollars, the corporation declared it was “fully capitalized,” including through an initial public offering (IPO).
“Paytm had a good second quarter of FY22,” the statement said, “which is a testament to the strong two-sided ecosystem of customers and merchants that we have developed.”
Paytm is reporting its profits for the first time after going public on the stock market earlier this month.
Paytm, which is backed by China’s Ant Group and Japan’s SoftBank Group Corp, raised $2.5 billion in India’s largest IPO this month but had a rocky start on the stock exchanges last week.
The stock has recovered some of its initial losses, but it is still trading at a discount of 17% to its issue price.
Paytm, which was founded in 2010 as a platform for adding credit to mobile phones, grew quickly after Uber Technologies Inc, a US ride-hailing company, listed it as a speedy payment option in India. When India abruptly eliminated high-value currency notes in 2016, it boosted digital payments.
Paytm, based in Noida, near Delhi, provides services such as merchant payments, insurance, and gold sales, movie and aircraft booking, as well as bank deposits and remittances.
