- Lending business is now at an annualised run rate of ₹37,000 crore
- User engagement is at its highest with MTU at 84 million
- Recently, co had posted a 76% y-o-y growth in revenue to ₹1,914 crore
NE BUSINESS BUREAU
AHMEHDABAD, NOV 15
Paytm, India’s leading payments and financial services company and the pioneer of QR and mobile payments, on Tuesday announced that it is on the path to profitability and free cash flow as it scales up its lending business, said Vijay Shekhar Sharma, the digital payments firm’s chief executive officer, in a letter to shareholders.
It disbursed 3.4 million loans in October, registering a y-o-y growth of 161%, while the value of total loans disbursed in October grew to ₹3,056 Cr ($407 million, y-o-y growth of 387%). Paytm’s leadership in offline payments strengthened further with its total merchant subscription devices deployed increasing to 5.1 million.
The company’s user engagement too was at its highest with its average monthly transacting users (MTU) for October at 84 million, registering a growth of 33% y-o-y. Meanwhile, the total merchant GMV processed through Paytm aggregated to Rs 1.18 Lakh Cr ($14 billion), a y-o-y growth of 42%.
Paytm’s founder and CEO Vijay Shekhar Sharma wrote a letter to shareholders as the company is close to one year of listing. “Our journey to build a scalable and profitable financial services business has just started,” he wrote.
He further said we are now excited about the next year of our journey, as we get close to EBITDA profitability and free cash flow generation.
Paytm in its recently announced Q2 FY23 financials had posted a 76% y-o-y growth in revenue to ₹1,914 crore, while contribution profit surged 224% y-o-y to Rs 843 crore. Meanwhile, the company’s losses reduced by 11% on a sequential basis.
