Paytm reports Q4 results: Achieves EBITDA before ESOP profitability

EBITDA before ESOP costs stood at ₹81 crore, marking an improvement of ₹121 crore from the previous quarter
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FRANCIS MASCARENHAS

One 97 Communications Ltd (Paytm) reported its financial results for Q4FY25, achieving EBITDA before ESOP profitability as guided previously. The company posted operating revenue of ₹1,911 crore for the quarter ending March 2025, up 5 per cent quarter-on-quarter.

Paytm recorded a contribution profit of ₹1,071 crore with a contribution margin of 56 per cent. Its EBITDA before ESOP costs stood at ₹81 crore, marking an improvement of ₹121 crore from the previous quarter.

Loss narrows

Excluding exceptional items, the company narrowed its losses to ₹23 crore, showing significant improvement from a loss of ₹208 crore in Q3FY25. The exceptional items included a one-time acceleration of ESOP expense amounting to ₹492 crore after Founder and CEO Vijay Shekhar Sharma voluntarily forfeited 2.1 crore ESOPs.

The financial services segment showed robust growth with revenue increasing 9 per cent q-o-q to ₹545 crore, while merchant subscriptions for payment devices reached 1.24 crore, with an addition of 8 lakh devices during the quarter.

The company maintained a strong cash position with a balance of ₹12,809 crore as of March 31, 2025. Paytm’s GMV (gross merchandise value) grew to ₹5.1 lakh crore, and its monthly transacting users (MTU) increased to 7.2 crore, up from 7.0 crore in the previous quarter.

The shares of One 97 Communications Limited (Paytm) were closed today at ₹816.50 down by ₹49.50 or 5.72 per cent on the NSE.