Paytm strengthens merchant payments leadership, deploys 71 lakh devices in April

Paytm’s leadership in offline payments strengthened with 71 lakh devices deployed, an increase of three lakh devices in April 2023.

“We continue to strengthen our leadership in offline payments, with 71 lakh merchants now paying subscription for payment devices, an increase of 3 lakh in the month of April 2023. With our subscription as a service model, the strong adoption of devices drives subscription revenues and higher payment volumes, while increasing the funnel for our merchant loan distribution,” Paytm said.

“Our leadership in payment monetization continues, as subscription services for payment devices like Soundbox and POS machines continue to see increased acceptance by merchants,” said the company in the filing to the stock exchanges.

Paytm went on to add that Merchant Payment Volumes (GMV) for the month of April 2023 stood at ₹1.27 Lakh crore ($15.6 billion), y-o-y growth of 34 per cent.

The fintech company further added that with its subscription as a service (SaaS) model, the strong adoption of devices drove subscription revenues and higher payment volumes.

“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,” Paytm said.

Claiming healthy growth in loan distribution business, Paytm said, “Our loan distribution business (in partnership with our lender partners) continues to gain scale with disbursements of ₹4,115 Cr ($503 million, y-o-y growth of 148%) and 41 lakh loans (y-o-y growth of 56%) disbursed in the month of April 2023 through the Paytm platform.”

“We continue to see growth in distribution of Postpaid and Personal Loans,” it said.

Paytm Q4 results

Paytm announced its Q4 FY23 results on Friday and reported 51 per cent YoY growth in revenue from operations to ₹2,334 crore. Paytm said that the robust growth in revenue from operations could become possible due to growth in payments and loan distribution business. The fintech firm reported sequential operating profit growth for second straight quarter.

Paytm share price ended at ₹691.40 apiece on NSE, logging intraday gain of near 3 per cent. The fintech stock has surged more than 7 per cent in last one month whereas in YTD time, Paytm share price has risen around 30 per cent.