BENGALURU, Nov 7 (Reuters) – Indian digital payments company Paytm (PAYT.NS) reported a 76% increase in revenue in the second quarter, helped in part by a surge in loan growth, while the company reiterated that it would become profitable by September. 2023.
Paytm’s parent company, One 97 Communications Ltd, said revenue rose to 19.14 billion Indian rupees ($233.81 million) in the July-September quarter from 10.86 billion rupees a year earlier.
The consolidated net loss widened to 5.71 billion rupees from a loss of 4.73 billion rupees a year earlier, as expenses related to employee benefits and payment processing fees increased, it said. the company in an exchange file.
The increase in revenue in the reported quarter was lower than the 88.5% increase that Paytm saw in the first quarter.
Revenue from the company’s core business, payment services – consumers and merchants using the app and device subscriptions – rose 55.6% in the second quarter to $11.73 billion. rupees.
Its payments net margin, or payments revenue less processing costs, rose 15% to Rs 4.43 billion from the previous quarter. Paytm’s average number of monthly transactions increased by 39% over the previous year.
Revenue from the company’s fast-growing financial services business – mainly buy-now, pay-later personal and merchant loans – nearly quadrupled to 3.49 billion rupees.
Loan disbursements jumped to 73.13 billion rupees in the quarter under review, the company said last month.
The company said it had no “firm timetable” on when Paytm Payments Bank will be allowed to onboard new customers following a ban by India’s central bank in March.
The company added that the central bank’s observations largely relate to strengthening IT outsourcing processes and managing operational risks.
($1 = 81.8600 Indian rupees)
Reporting by Anuran Sadhu and Juby Babu in Bengaluru; Editing by Shounak Dasgupta
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