Financial technology company Paytm has reported a revenue of Rs. 2519 crores for the quarter ending in September 2023 (Q2FY2024), showing a 32% year-on-year (YoY) growth in revenue. The company says that its revenue growth was the result of an increase in gross merchandise value (GMV), merchant subscription revenues, and growth of loans distributed through its platform. Paytm’s contribution margins have also seen a rise going from 44% last year to 57% this quarter, the company is operating at a contribution profit of Rs.1426 crores. This comes after the company changed ownership in August, with its founder and CEO Vijay Shekhar Sharma acquiring a 10.30% stake (worth $628 million) in the company from Antfin Holding B.V., a Netherlands-based subsidiary of the Chinese conglomerate Ant Group. Paytm’s performance across its business segments: Payments: Paytm’s payments business has seen a 19% YoY growth in average monthly transacting users, going from Rs. 8 crores in September 2022 to Rs. 9.5 crores in September 2023. The number of merchant subscribers has also increased, going up by 91% YoY, the company added more than 13 lakh merchant subscribers just in the last quarter. The company attributed the rise in merchant subscriptions to its devices— Pocket Soundbox, Card Soundbox, and Music Soundbox. The company mentioned that its net payment margin (payment processing margin+ subscription revenue) has risen by 60% YoY going from Rs. 443 crores in the same quarter last year to Rs. 707 crores in September 2023, showing an increased profitability in the payments business. It…
