Paytm Narrows Third-Quarter Loss as Digital Payments Business Recovers
Paytm reported a reduced adjusted loss for Q3 compared to Q2, as its digital payments business rebounded from the shutdown of its payments bank.
Key Metrics:
* Loss before exceptional items: INR 2.08 billion ($24.05 million)
* Net loss: INR 1.7 billion ($19.6 million)
* Revenue: INR 18.28 billion, up 10.1% sequentially
Recovery from Payments Bank Wind-Down:
The company's previous quarter saw its first profit ever, driven by a one-time gain from selling its ticketing business to Zomato. However, Paytm's payments bank unit was shut down in January 2024 due to compliance issues.
Post-shutdown, Paytm received regulatory approvals:
* Permission to operate as a third-party app for digital payments
* Clearance to sign on new UPI users
These approvals have contributed to Paytm's stock recovery.