New Delhi [India] November 4 (ANI): Paytm (One 97 Communications Limited), India’s leading payments and financial services distribution company and pioneer of mobile payments, QR codes, and Soundbox, has sustained its profitable growth trajectory in the quarter ending September 2025 (Q2 FY26). The company reported a 24% year-on-year (YoY) rise in revenue to Rs 2,061 crore, driven by expansion in merchant subscriptions, higher payments Gross Merchandise Value (GMV), and a sharp rise in financial services revenue.
According to the company, revenue from the distribution of financial services surged 63% YoY to Rs 611 crore, supported by growth in merchant loans and improved collections. During the quarter, around 6.5 lakh consumers and merchants availed Paytm’s financial services.
EBITDA rose to Rs 142 crore with a margin of 7%, while Profit After Tax (PAT) stood at Rs 21 crore after accounting for a one-time charge of Rs 190 crore towards full impairment of a shareholder loan. Excluding this, PAT improved to Rs 211 crore, reflecting the company’s strong operational performance.
The company said the performance underscores its AI-led efficiency and disciplined cost structure. Paytm’s payment services revenue grew 25% YoY to Rs1,223 crore, with net payment revenue rising 28% to Rs 594 crore. GMV for the quarter reached Rs 5.67 lakh crore, up 27% YoY, highlighting deeper engagement from both merchants and consumers.
Merchant subscriptions reached an all-time high of 1.37 crore, an increase of 25 lakh YoY, consolidating Paytm’s leadership in merchant payments. The company attributed this milestone to the launch of India’s first AI Soundbox, which has seen strong adoption among merchants across the country.
Indirect expenses declined 18% YoY to Rs1,064 crore, led by a 43% reduction in marketing costs, even as Paytm continued to expand its merchant presence across Tier-2 and Tier-3 cities. The company’s cash balance also strengthened, standing at Rs13,068 crore at the end of the quarter, compared to Rs12,872 crore in the previous quarter, underscoring its financial resilience and flexibility to invest in future AI-driven initiatives.
Paytm said its consistent focus on innovation, efficiency, and disciplined execution has enabled it to achieve sustainable profitability while empowering India’s MSMEs and merchant ecosystem. The company continues to leverage artificial intelligence to enhance customer experience, streamline operations, and deepen engagement with users and partners.
Reaffirming its commitment to long-term growth, Paytm said it remains focused on expanding financial services distribution, strengthening merchant relationships, and building new opportunities in the AI-led digital economy. The company’s strategy, it said, is anchored in sustainable profitability and creating value across its payments and financial services ecosystem. (ANI)
