Paytm Share Price in Focus; Drops for the 2nd Consecutive Session

On January 21, 2025, fintech major One97 Communications, which operates the Paytm payments platform, saw its stock price trade 6.05% lower at ₹843.45 by 10:30 AM on the NSE. The stock opened at ₹900.55, higher than its previous close of ₹897.80. It had declined by 0.17% the previous day, breaking a four-session streak of gains.

Q3 FY25 Financial Highlights

On Monday, fintech major One97 Communications, which operates the Paytm payments platform, reported that its consolidated loss in the December quarter narrowed to ₹208.3 crore, down from ₹219.8 crore in the same quarter of the previous fiscal year.

However, the company’s consolidated revenue from operations fell by 36% year-on-year (YoY), totalling ₹1,828 crore, compared to ₹2,851 crore in Q3 of FY24.

On a quarter-on-quarter (QoQ) basis, Paytm saw a 10% rise in revenue, driven by an increase in Gross Merchandise Value (GMV), strong growth in subscription revenues, and higher earnings from financial services distribution.

The net payment margin increased by 5% QoQ to ₹489 crore, mainly due to the boost in subscription revenue. The fintech firm also noted that its payment processing margin remained within the expected range.

Recent Business Developments

On January 20, 2025, Paytm’s parent company, One97 Communications, announced plans to incorporate wholly-owned subsidiaries of Paytm Cloud Technologies Limited in the United Arab Emirates (UAE), Kingdom of Saudi Arabia (KSA), and Singapore within the next six months.

These subsidiaries will focus on expanding the distribution of Paytm’s technology-led merchant payments and financial services stack in these regions. The expansion will be carried out through various strategies, including organic growth, local licensing, and strategic investments or partnerships.

This move is part of Paytm’s efforts to broaden its footprint and enhance its market presence internationally.

On January 20, 2025, One97 Communications, the parent company of Paytm, announced the sale of its step-down subsidiary, Xceed IT Solutions Private Limited.

The agreement for the sale was signed on the same day, with the expected completion date set for February 28, 2025.

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