Paytm Q3 consolidated loss narrows to ₹392 crore

Digital financial services firm One97 Communications on Friday reported its consolidated net loss to ₹392 crore in the December 2022. This is against   a net loss of ₹778.4 crore in the same period a year ago.

Its revenue from operations jumped about 42 per cent to ₹2,062.2 crore during the quarter from ₹1,456.1 crore in the year-ago period.

Paytm founder and CEO Vijay Shekhar Sharma said the company during the December quarter has achieved its target for operational profit, excluding ESOP cost.

"I wrote to you on April 6, 2022, and set a target for EBITDA before ESOP cost breakeven by the September 2023 quarter. I am very happy to share that our company has achieved this milestone of EBITDA before ESOP cost profitability in the December 2022 quarter itself. This is three quarters ahead of our guidance," Sharma said.

“With our focus on growth and keeping a tight vigil on operational risk and compliances, I am very confident that we will soon achieve our next milestone of becoming a free cash flow generating company,” he added.

The company said it has disbursed 10.5 million loans in December quarter. Paytm's total loan disbursal stood at ₹9,958 core in the quarter.

Paytm reported revenue from payments was up 21 per cent year-on-year to ₹1,197 crore. The revenue from financial services is ₹446 crore, accounts for 22% of total revenue.

Merchant subscriptions stood at 5.8 million compared to 3.8 million a year ago.

Shares of the company closed 3.83 per cent down at ₹524.9 apiece on BSE.