Paytm Q2FY24 quarter earnings showed robust revenue growth led by higher subscription revenue and an uptick in the loan distribution business.
Indian fintech Paytm has published its Q2FY24 quarter earnings results, showing registered revenue growth of 32% year-on-year (YoY) to ₹2,519 Cr, without a UPI incentive.
The company’s EBITDA before ESOP for the quarter ending September 2023 went up ₹319 Cr YoY to ₹153 Cr.
The growth was driven by enhanced subscription volumes. In Q2, the amount of subscriptions paid by merchants for Paytm’s payment devices reached 92 Lakh, increasing 44 Lakh YoY and 14 Lakh quarter-on-quarter.
In addition, the fintech company disbursed loan value worth ₹16,211 Crore, an astonishing 122% YoY growth, through its three product offerings – Paytm Postpaid, Personal Loans, and Merchant Loans. Encouraged by the success of the lending business, Paytm plans to continue adding new lending partners. This quarter, the company partnered with Tata Capital. Before that, Paytm teamed up with Shriram Finance. As of now, the fintech has 9 lending partners in total.
Finally, Paytm’s commerce and cloud business maintained strong performance. So far, the company has onboarded 8.7 Lakh active credit cards, up from 3 Lakh last year. The company executives note they continue to see good traction with both HDFC and SBI Cards.
“I am very happy to see the ongoing innovation, every nook and corner of India has digital payments enabled. Our business has seen great momentum and we are focused on revenue-led growth.”
Vijay Shekhar Sharma, Paytm Founder, CEO & MD
Paytm offers a range of payment services and fintech products to merchants. They range from QR code support to Soundbox devices, card machines, and a payment gateway.
Moreover, the company doesn’t serve only private enterprises. In July, Paytm signed an exclusive memorandum of understanding (MoU) to help various departments of the Goa Government go digital. The company will deploy its proprietary payment devices to all Goa Government departments including panchayats and municipalities.
