NEW DELHI: One97 Communications, the parent firm of fintech firm Paytm, on Friday reported a 72% increase in its loss at Rs 762 crore for the fourth quarter of the financial year 2021-22. The company had posted a loss of Rs 444 crore in the same quarter last fiscal. For the full year FY22, the company’s losses grew by 41% to 2,396 crore from Rs 1,701 loss crore in FY21.
The company’s revenues from operations were up by 89 percent year-on-year, coming in at Rs 1,541 crore. For the full year, its consolidated revenue from operations grew by 77% to Rs 4,974 Cr in FY 2022 from Rs 2,802 Cr for the FY 2021.Despite a sharp surge in losses, Paytm claims it is on track to achieve break-even by quarter ending September 2023.
“Paytm ended the fiscal year with strong growth across our businesses and reductions in EBITDA losses, which puts us well on track to achieve operating breakeven by the quarter ending September 2023.”It added, “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 Cr of disbursement through our platform.”The company said that in Q4 FY22, it witnessed strong improvement in contribution margins to 35%, up from 31% in Q3 FY22 and 21% in Q4 FY 2021.
This was driven by significant improvement in payments contribution margins, growth of high-margin financial Services, and increased margin in merchant services (Commerce & Cloud) vertical,” said the
fintech firm.