One 97 Communications Limited (OCL), which owns the brand Paytm, announced its financial results for the first quarter of FY25 on Friday, showing a rebound in key metrics. The company reported an operating revenue of ₹1,502 Cr, with an EBITDA loss before ESOP of ₹545 Cr. Revenue from financial services stood at ₹280 Cr, while marketing services brought in ₹321 Cr. Contribution profit for the quarter was ₹755 Cr, reflecting a 50% margin.
Merchant operating metrics rebounded to January 2024 levels, with new merchant sign-ups and daily GMV showing significant improvement. The merchant subscriber base reached 1.09 Cr, supported by efforts to redeploy devices from inactive merchants to new ones. The company’s total monthly transacting user base stabilized at ~7.8 Cr by the end of June, indicating strong user retention.
Paytm remains focused on driving revenue and profitability through growth in merchant payment metrics, recovery in loan distribution, and cost optimization. The company has seen strong traction in its insurance offerings and continues to expand its loan distribution and wealth products.
The company holds a strong balance sheet with ₹8,108 Cr of cash, excluding funds from Paytm Money Ltd (PML), and stock acquisition rights in PayPay Corporation. Moving forward, Paytm aims to lead the market with innovative merchant payment solutions and expand its credit distribution and insurance offerings.
Paytm spokesperson said, “We are seeing a rebound in our merchant operating metrics and stability in our consumer base, demonstrating our path to recovery. This also indicates the continued confidence of our merchant partners and consumers on our platform, and we are grateful for the trust of our stakeholders. With Q1 illustrating the full impact of recent disruptions, we are confident in our trajectory towards sustained growth going forward.”
