The parent company of Paytm, One97 Communications came out to announce on the 20th of May that their subsidiary’s losses have gone further up amounting to Rs. 762 crores during the final quarter of the fiscal year that ended in 2022.
Paytm seem to be digging a hole too big which will be too difficult to get out. However, there seems to be some positives coming from the company recently. The value of the shares has actually seen a small upturn of 3.3% and on the closing hours of on the 20th of May, the value of one share went up to Rs. 572. Paytm will have to bank on this and use it to their advantage if they want to break even soon.
Paytm is an Indian based financial tech company that works as a digital payment’s platform. The company was founded 12 years ago back in 2010, and its head office is based in Noida.
For the fiscal year that ended in 2022, the company’s revenue did grow by 87% amounting to Rs. 1892 crores which is a big jump considering the fact that they posted a revenue amounting to Rs. 1012 crores in the previous fiscal year. The company said that according to their data, they will be breaking even by September of next year.
They also said the number of users including merchants went up this year. Close to 500 million Indians currently use Paytm on a regular basis. The number of transactions has also increased this past year with close to 71 million average monthly unique transacting users. This number has increased by 41% in a single year.
They even approved over 6 million loans in the final quarter of the 2021-22 fiscal year which was a year over year growth of 374%.
The company also said in their report that the company has picked up the pace this fiscal year and especially in the final quarter in the year just past and that they predict that there will be continual growth of the company.
These past few years have been very bleak for Paytm and many experts expected them to be ousted by the newer fintech firms in the market like Rupay, Gpay, and PhonePe which are backed by massive fund management companies. But Paytm was able to pull themselves back and showcase themselves as one of the biggest players in the digital payments sector after all these years.