Paytm’s March quarter revenue surged 89 per centDigital financial services firm One97 Communications, which operates under the Paytm brand, on Friday witnessed a jump of 89 per cent in its revenue from operations during the March quarter of 2021-22.The revenue from operations of One97 Communications, the parent company of Paytm, jumped by about 89 per cent to Rs 1,540.9 crore during the March quarter from Rs 815.3 crore in the year-ago period.”The company’s EBITDA loss (before ESOP) for 2021-22 saw an improvement of 8 per cent year-on-year to Rs 1,518 crore from Rs 1,655 crore the previous year. In addition, the company had Rs 809 crore of non-cash ESOP expenses,” a statement issued by the company said.It however reported widening of its consolidated loss to Rs 761.4 crore for the quarter ended March 2022 on account of rise in payment processing charges and employees benefit expenses.The company had posted a loss of Rs 441.8 crore in the same period a year ago.The losses, however, narrowed on a sequential basis. Its consolidated loss stood at Rs 778.4 crore in the quarter ended December 2021.Paytm’s expenses on employees more than doubled to Rs 863.4 crore from Rs 347.8 crore in the March 2021 quarter.”As announced in April 2022, we believe we will achieve operating breakeven (i.e EBITDA before ESOP cost) by September 2023. This will be driven by continued revenue growth, along with moderation in costs as operating leverage kicks in,” Paytm said.The company’s payment processing charges increased by 52 per cent to Rs 774.2 crore in the March 2022 quarter from Rs 508.7 crore a year ago.Marketing expenses more than doubled to Rs 248.9 crore from Rs 100.1 crore.For the year ended March 31, 2022, One 97 Communications’ loss widened to Rs 2,396.4 crore from Rs 1,701 crore in 2020-21.However, annual revenue from operations jumped 77.49 per cent to Rs 4,974.2 crore in 2021-22 from Rs 2,802.4 crore earlier.”We have leveraged our distribution and rich insights to offer financial products to our consumers and merchants, in partnership with financial institutions. One of the highlights of the quarter has been the rapid growth of our lending products which provides us with an attractive profit pool. In April 2022, we reached an annualised run rate of approximately Rs 20,000 crore of disbursement through our platform,” the statement added.
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