Paytm Q4-FY25 revenue grows to Rs 1,911 crore, fintech firm close to full profitability

New Delhi [India], May 6 : Popular fintech company Paytm on Tuesday reported that its revenue climbed 5 per cent quarter-on-quarter in the January-March quarter to Rs 1,911 crore.
The company also noted that it has significantly narrowed its loss to just Rs 23 crore, reflecting strong operational improvements and sustained business growth.
Additionally, during 2024-25, the company received Rs 70 crore in UPI incentives.
Further, the company achieved EBITDA before ESOP profitability, with EBITDA before ESOP improving to Rs 81 crore during the quarter.
This, the company said, was driven by ongoing cost efficiencies, resilient payments growth, and expanding financial services revenue.
In 2024-25, Paytm's revenue reached Rs 6,900 crore, showing a decline due to disruptions in the first half of the year.
Despite this, the platform has maintained strong engagement from both consumers and merchants, supported by an expanding device network and the recent approval to onboard new UPI users.
PAT or profit after tax improved by Rs 121 crore Rs(23) crore in Q4 2024-25, excluding a one-time exceptional ESOP charge of Rs 522 crore.
Continuing its focus on cost discipline, Paytm reduced indirect expenses by 1 per cent quarter-on-quarter to Rs 991 crore, and 16 per cent year-on-year, driven by various factors including reduction in non-sales employee costs by 36 per cent year-on-year.
During the quarter, Paytm's Founder and CEO Vijay Shekhar Sharma voluntarily surrendered 2.1 crore ESOPs, it said. This move is expected to significantly lower ESOP-related costs in the coming quarters.
IFinancial services continued to emerge as a key growth engine, with revenue from this segment growing 9 per cent sequentially to Rs 545 crore.
Merchant loan disbursements for the quarter stood at Rs 4,315 crore, with over 50 per cent extended to repeat borrowers--highlighting strong credit performance and customer retention.
Paytm's contribution profit rose 12 per cent quarter-on-quarter to Rs 1,071 crore, with the contribution margin expanding to 56 per cent. Net payment margin, excluding UPI incentives, increased 4 per cent sequentially to Rs 508 crore.
The company's Gross Merchandise Value (GMV) for the quarter stood at Rs 5.1 lakh crore, while Average Monthly Transacting Users (MTUs) increased to 7.2 crore.
Paytm also expanded its merchant payment device network by 8 lakh during the quarter, reaching a total base of 1.24 crore devices.
Adding to it, Paytm's merchant loan distribution business has seen impressive growth, increasing from Rs 1,403 crore in 2021-22 to Rs 13,602 crore in 024-25.
The number of merchants accessing loans has surpassed 10 lakh, with more than 50 per cent of disbursements going to repeat borrowers.
As of March 2025, Paytm said its cash balance stood at Rs 12,809 crore.