Paytm Monthly Users Grew 49 Percent YoY, Net Loss Widens in June Quarter

Digital monetary providers agency One97 Communications, which operates beneath the Paytm model, on Friday stated its consolidated loss widened to Rs. 644.4 crore within the first quarter ended June 30. The firm had recorded a web lack of Rs. 380.2 crore a 12 months in the past. 

Paytm stated its contribution revenue, which excludes taxes and advertising bills however consists of promotional incentives, grew over three-fold to Rs. 726 crore in June 2022 quarter from Rs. 245 crore within the year-ago interval.

The consolidated income from operations elevated 89 % to Rs. 1,680 crore in the course of the reported quarter from Rs. 891 crore within the June 2021 quarter.

“Earlier this year, we had shared that we would achieve operating profitability by September 2023, driven by better monetisation, as well as moderating growth in costs. The first quarter of the financial year 2023 results exhibit our strategy is well-in-place, with focused improvement on unit economics, better expense management and an increasing mix of higher margin businesses (such as financial services and commerce) steering us on the path to profitability,” Paytm stated.

The gross merchandise worth greater than doubled to Rs. 3 lakh crore within the June 2022 quarter from Rs. 1.5 lakh crore a 12 months in the past.

Paytm stated that its month-to-month transacting customers grew by 49 % on a year-on-year foundation to 7.48 crore.

During the reported quarter, loans disbursed by Paytm grew by over eight-fold to Rs. 5,554 crore from Rs. 632 crore within the June 2021 quarter.

“Disbursements in our loan distribution business are annualising at a run-rate of about Rs. 24,000 crore, and we believe there is ample opportunity for upsell in this business while being conservative on the quality of the book,” Paytm stated within the monetary efficiency report.