Paytm sees 16% decline in revenue from operations in Q4 of FY25
BENGALURU: Paytm's parent firm One97 Communications on Tuesday said its consolidated net loss for the quarter that ended in March 2025 was Rs 540 crore. It had posted a loss of Rs 550 crore in the year-ago period.
In Q4, the company had certain exceptional costs amounting to Rs 522 crore. It had a one-time, non-cash acceleration of ESOP expense of Rs 492 crore in Q4FY2025, which will result in an equivalent lowering of ESOP expenses in future quarters. The company said in a filing that excluding these exceptional items, in Q4 FY 2025, PAT improved to Rs 23 crore. Its revenue from operations stood at Rs 1,911.5 crore, a 16% decline compared to Rs 2,267 crore in the year-ago period.
The company said it is focusing on merchant payment, consumer acquisition, international business and financial services to drive sustainable growth and profitability. The company will continue to strengthen the merchant payment ecosystem with merchant payment innovations, including new devices and aggregation of various MDR (merchant discount rate)-bearing payment instruments.
In Q4 FY 2025, payment services revenue (including other operating revenue) was at Rs 1,098 crore. In Q3 FY 2025, there was a seasonal surge in payments volume owing to the festive season. Accordingly, in Q4 FY 2025, services revenue (excluding UPI incentive) was down 3% QoQ, whereas payment processing was lower by 9% QoQ (reduction of ₹50 Cr QoQ), it said.
The company's net payment margin including UPI incentive was at ₹578 crore. In the fourth quarter, its GMV (gross merchandise value) grew by 1% sequentially to Rs 5.1 lakh crore. As of March 2025, merchant subscriptions were at 1.24 crore, an increase of 8 lakh QoQ. New subscription paying device merchant sign-ups continue to see strong growth, the company said.
In Q4 FY 2025, its average MTU (monthly transacting users) has increased to 7.2 crore, as compared to 7.0 crore in Q3 FY 2025 as it started onboarding new UPI customers after NPCI granted the approval in October 2024.