Paytm reports robust operational metrics for Oct-Nov

The annualised run rate of its loan disbursals reached ₹39,000 crore (close to $4.8 billion) in November, up from ₹34,000 crore ($4.1 billion) in September. The value of loans disbursed grew 374% year-on-year in October-November to ₹6,292 crore ($774 million) from ₹1,328 crore in the two months ended November 2021.

Paytm claimed that it continues to be a leader in the offline payments space. The Noida-headquartered company currently has 5.5 million merchants paying subscriptions for payment devices. It had around 1.6 million merchants as of November 2021.

“With our subscription as a service model, the strong adoption of devices drives higher payment volumes and subscription revenues, while increasing the funnel for our merchant loan distribution,” the company said.

The fintech giant also saw the number of monthly transacting users (MTU) increasing steadily, growing 33% year-on-year to 84 million in the October-November period. The app had around 80 million MTUs in September 2022 quarter.

Also, total merchant GMV (gross merchandise value) processed through Paytm’s platform for the two months ended November aggregated to ₹2.28 lakh crore, marking a year-on-year growth of 37%, from ₹1.67 lakh crore in the same period a year ago.

“Our focus over the past few quarters continues to be on payment volumes that generate profitability for us, either through net payments margin or from direct upsell potential,” the company said.

Last week, the company announced that it will be discussing its first-ever buyback in a meeting of the board of directors on 13 December. “Paytm believes that given the company’s prevailing liquidity/ financial position, a buyback may be beneficial for our shareholders,” the company had said in a filing.