Paytm’s payments services revenue grew 69% YoY (3% QoQ), supported by a rapid growth in user engagement, merchant base, use cases on the Paytm super app and subscription revenue from payment devices, the company said. Paytm undertook account level rationalisation among online merchants to focus on profitable GMV. Furthermore, there was no UPI incentive recorded during the quarter.
This has led to an increase in net payment margin to 35% from 17% YoY through reduction in payment processing charges, increase in subscription revenue, MTU growth on the platform and account level rationalization for online merchants.
The company’s revenue from financial services grew 393% YoY during the quarter, led by massive growth in Paytm’s loan distribution business. During the quarter, Paytm disbursed 8.5 million loans, representing a growth of 492% YoY and 30% QoQ.
The value of the loans disbursed stood at Rs 5,554 crore, marking a growth 779% YoY of 56% QoQ. Moreover, the company has now reached an annualised run rate of approximately Rs 24,000 crore of loan disbursements through its platform, with significant upside potential from increasing penetration.
*This is in partnership with BQ Prime BrandStudio
Image and article originally from www.bqprime.com. Read the original article here.