Paytm strengthens leadership in payments; number of deployed devices jump to 4.8 million

New Delhi [India], October 10 (ANI): Paytm, India’s leading digital payments and financial services company and the pioneer of mobile and QR payments, has further strengthened its leadership position in the payments system with its number of deployed devices growing to over 4.8 million.
According to a regulatory filing to the stock exchanges by One 97 Communications Ltd, the parent firm of Paytm, the company disbursed 9.2 million loans in the second quarter of the financial year 2022-23, registering a 224 per cent year-on-year growth in volume.
Meanwhile, the total value of loans disbursed during the quarter surged by 482 per cent year-on-year to Rs 7,313 crore ($894 million).
The company continues to see ample growth and upsell opportunities in this business and is now focusing on the quality of the book, as per an update on operating performance submitted by One 97 Communications Ltd to the stock exchanges.
The company has shared its monthly business operating performance update for Q2 of the financial year 2022-23. Paytm’s loan distribution business continues to see accelerated growth with disbursements at an annualised run rate of Rs 34,000 ($4.1 billion), while consumer engagement is at its highest on the Paytm Super App.
Paytm has further strengthened its leadership in offline payments with the number of devices deployed exceeding 4.8 million as of Q2 FY23, with over 1 million new deployments during the second quarter.
Highlighting its subscription-as-a-service model, the company said the strong adoption of devices is driving higher payment volumes, subscription revenues as well as merchant loan distribution.
The Paytm Super App continues to drive higher consumer engagement for the company’s comprehensive payment services. With this, the company’s average monthly transacting users (MTU) for the quarter stood at a record 79.7 million for the quarter, marking a growth of 39 per cent year-on-year.
Paytm registered a consistent growth in its Gross Merchandise Value (GMV), which refers to the merchant payments volume processed through the platform. The GMV for Q2 FY23 stood at Rs 3.18 lakh crore ($39 billion), registering a 63 per cent year-on-year growth.
With the strong performance in Q2 FY23, the company has gained further momentum after starting off the financial year on a strong note.
In the first quarter of 2022-23, the company registered 89 per cent year-on-year revenue growth of Rs 1,680 crore, while EBITDA (Before ESOP) loss reduced to Rs 275 crore, marking an improvement of Rs 93 crore on a quarter-on-quarter basis.
In addition, the company’s contribution profit grew by 197 per cent year-on-year to Rs 726 crore, leading to an increase in contribution margin to 43 per cent of revenues in comparison to 35 per cent in the fourth quarter of 2021-22. (ANI)