Paytm rises on good operating performance

One 97 Communications (Paytm) rose 1.80% to Rs 711.70 after the company said its lending business witnessed a 492% year on year growth during the quarter ending June 2022.

The number of loans disbursed through the company's platform surged 492% year on year (YoY) to 8.5 million loans in quarter ending June 2022, while the value of loans disbursed grew 779% YoY to Rs 5,554 crore ($703 million).

The company said that the rapid growth of their lending products brought an attractive profit pool. It also saw an increase in average ticket size due to the scale-up of the personal loans business in particular.

The merchant gross merchandise value (GMV) processed through the platform for the quarter ending June 2022 aggregated to approximately Rs 2.96 lakh crore ($37 billion), marking a YoY growth of 101%.

The company said it continued to achieve new records in user engagement, with the average monthly transacting users (MTU) for the quarter ending June 2022 at 74.8 million, registering a growth of 49% YoY. For the month of June alone, the MTU stood at 75.9 million.

The firm said its leadership in offline payments continued with deployment of 3.8 million devices at merchant stores across the country. The strong adoption of devices also has a correlation with the rise in merchants eligible for loans from the company's platform.

Paytm is India's payment Super App offering consumers and merchants most comprehensive payment services. Paytm enables commerce for small merchants and distributes various financial services offerings to its consumers and merchants in partnership with financial institutions.

One 97 Communications is fintech major Paytm's parent. It reported a consolidated net loss to Rs 763 crore in Q4 FY22, higher than net loss of Rs 441.80 crore in Q4 FY21. Its consolidated revenue from operations grew 89% YoY to Rs 1,540.90 crore in the quarter under review compared with Rs 815.30 crore in the corresponding quarter last year.

Powered by Capital Market - Live News