Latest news with #One97CommunicationsLimited
Hans India
06-05-2025
- Business
- Hans India
Paytm Q4 revenue falls 15.7 pc, net loss widens to Rs 544.6 crore QoQ
Mumbai: One97 Communications Limited, the parent company of Paytm, on Tuesday reported a 15.7 per cent drop in revenue to Rs 1,911.5 crore for the January-March 2025 period (Q4 FY25), compared to Rs 2,267.1 crore in the same quarter of the last fiscal (Q4 FY24). The weaker revenue performance comes despite an increase in other income, which rose by nearly Rs 100 crore to Rs 223.8 crore, as per the company's stock exchange filing. However, that wasn't enough to offset broader pressures, and the company reported a net loss of Rs 544.6 crore for the quarter. This is only slightly lower than the Rs 550.5 crore loss in the same period last fiscal, according to its stock exchange filings. Paytm's earnings before interest, taxes, depreciation, and amortisation (EBITDA) before employee stock option (ESOP) expenses stood at Rs 81 crore. But ESOP costs remained high at Rs 169 crore. The company said it expects these expenses to come down going forward. In a notable move last month, Paytm CEO Vijay Shekhar Sharma gave up 21 million ESOPs, triggering a one-time non-cash expense of Rs 492 crore. Meanwhile, the company said revenue from UPI incentives had fallen this year -- reflecting reduced government payouts. Paytm added that the payments industry is hopeful of regulatory clarity soon on allowing merchant discount rates (MDR) for large UPI transactions, which could help improve margins. In the fourth quarter of FY25, Paytm generated Rs 1,098 crore in revenue from its Payment Services segment, which includes other operating income. With India's vast MSME sector presenting major growth potential, the merchant base for mobile payments is estimated at over 10 crore, with nearly half expected to need software or hardware support. The Financial Services segment remained a key growth driver, posting a 9 per cent quarter-on-quarter (QoQ) rise in revenue to Rs 545 crore. During the quarter, Paytm disbursed Rs 4,315 crore in merchant loans, with more than half going to repeat customers -- indicating strong credit quality and customer loyalty. Ahead of the earnings announcement, shares of Paytm's parent fell 5.72 per cent on the National Stock Exchange (NSE).
Business Upturn
06-05-2025
- Business
- Business Upturn
Explained: Paytm's Q4 FY25 loss is due to this exceptional item and has actually narrowed substantially
By News Desk Published on May 6, 2025, 17:16 IST Paytm parent One 97 Communications Limited reported a net loss of ₹539.8 crore for Q4 FY25, which at first glance appears significantly wider than the ₹208.3 crore loss in the previous quarter. However, a closer look reveals that this headline figure is heavily influenced by exceptional, one-time charges—most notably an accelerated ESOP expense of ₹492 crore recorded during the quarter. Excluding these exceptional items and UPI incentives, the company's performance reflects a much healthier trend. On a comparable basis, Paytm's profit after tax (PAT) improved by ₹115 crore quarter-on-quarter, narrowing the adjusted loss to ₹93 crore in Q4 FY25 from ₹208 crore in Q3 FY25. The company stated that EBITDA before ESOP and including UPI incentives stood at ₹81 crore in Q4 FY25, while excluding UPI incentives, it was ₹88 crore—showing a ₹65 crore sequential improvement. Paytm attributed this positive movement to stronger operating leverage, lower depreciation and amortisation expenses due to reduced capex, and increased other income from higher cash reserves. The ₹492 crore exceptional charge stems from the CEO's voluntary decision to forgo ESOPs, which has been accounted for in compliance with Ind-AS 102. As a result, Paytm recorded this as a non-cash expense and also transferred ₹4,092 crore from its ESOP reserve back into retained earnings, boosting its free reserves. The company also incurred an additional ₹30 crore impairment on investments in certain associates or subsidiaries, taking the total exceptional items to ₹522 crore for the quarter. Despite the headline net loss figure, Paytm's internal financial bridge shows continued improvement in core profitability, setting a stronger base for FY26, especially with ESOP-related expenses expected to reduce significantly in upcoming quarters. News desk at
Business Upturn
21-04-2025
- Business
- Business Upturn
Paytm Money introduces reduced interest rates and brokerage structure for Pay Later (MTF) offering
Paytm Money, a subsidiary of One 97 Communications Limited (OCL), has introduced a new set of cost-effective interest rates and a revised brokerage structure for its Pay Later (Margin Trading Facility – MTF) offering. This development aims to provide greater affordability and access for both retail and high-value investors. The newly implemented slab-based interest rates start at 9.75% per annum (p.a.), a significant reduction from the previous flat rate of 14.99% p.a. These new rates are linked to the funding book size of the investor. For retail investors, the revised interest rate of 9.75% p.a. is designed to make trading more affordable, especially for those just beginning their investment journey. Additionally, high-value traders with a funding book size exceeding ₹25 lakh will also be eligible for the same 9.75% p.a. interest rate, encouraging more trading activity. Investors with a funding book size between ₹1 lakh and ₹25 lakh will continue to be charged an interest rate of 14.99% p.a. In addition to the reduced interest rates, Paytm Money has also updated its brokerage structure. The platform now charges a brokerage of just 0.1% per trade, which is intended to offer both affordability and long-term platform sustainability. The revised interest rates will be effective from April 18, 2025, while the updated brokerage structure will come into effect on May 18, 2025. The changes are aimed at making margin trading more accessible to a wider range of investors, from entry-level participants to experienced traders. With this move, Paytm Money hopes to meet the growing demand for more flexible and cost-efficient investment products. The platform's revamped MTF offering is designed to address the concerns of users who seek transparent and competitive pricing. By introducing these cost-effective measures, Paytm Money seeks to support its mission of democratizing wealth management in India. The new interest rates and brokerage model are part of the company's ongoing efforts to ensure that investing remains accessible and affordable for all types of investors. Aman Shukla is a post-graduate in mass communication . A media enthusiast who has a strong hold on communication ,content writing and copy writing. Aman is currently working as journalist at
