One97 Communications, the parent company of Paytm, reported a 78.8 per cent year-on-year increase in consolidated net profit to Rs 220 crore for the quarter ended June 30, 2026, marking its fifth consecutive quarter of net profit.
Revenue from operations rose 27.6 per cent year-on-year to Rs 2,448 crore in Q1 FY27, compared with Rs 1,918 crore in the year-ago quarter. On a sequential basis, revenue increased 8.1 per cent from Rs 2,264 crore in Q4 FY26.
Including other income of Rs 182 crore, Paytm’s total income stood at Rs 2,630 crore during the quarter.
The fintech company’s total expenses rose 18.2 per cent year-on-year to Rs 2,383 crore in Q1 FY27, compared with Rs 2,016 crore in Q1 FY26.
Payment services remained the largest contributor to operating revenue, accounting for more than 56 per cent of the total. Revenue from payment services grew 32 per cent year-on-year to Rs 1,384 crore.
Revenue from the distribution of financial services stood at Rs 814 crore, while marketing services contributed Rs 239 crore during the quarter.
Payment processing charges were Paytm’s largest expense, accounting for more than 33 per cent of total costs. The expense increased 36 per cent year-on-year to Rs 794 crore. Employee benefit expenses rose nearly 16 per cent to Rs 742 crore.
Marketing expenses increased 69 per cent year-on-year to Rs 169 crore during the quarter. Expenses related to software, cloud, communication, legal, cashback and other overheads contributed to the overall increase in total expenditure.
Paytm had reported a consolidated net profit of Rs 123 crore in Q1 FY26. Sequentially, profit rose 20.2 per cent from Rs 183 crore in Q4 FY26.
The company had achieved full-year profitability in FY26 and has started FY27 with another quarter of strong profit growth.
Separately, Paytm granted fresh employee stock options covering 15.42 lakh equity shares under its ESOP 2019 scheme. The options were valued at nearly Rs 208, according to a separate disclosure filed with the National Stock Exchange.
Paytm shares closed at Rs 1,348.5 on July 20, giving the company a market capitalisation of Rs 86,396 crore, or approximately $9.09 billion. |
