Paytm shares gained more than 4% during intraday trading but ended 2.29 percent higher at the closing bell.
Web Desk of India Today: Shares of One97 Communication Limited, the parent company of fintech brand Paytm, rose sharply on Monday after the company released its third-quarter business update.
Paytm shares gained more than 4% during intraday trading but ended 2.29 percent higher at the closing bell. Aside from the positive Q3 business update, the company’s stock rose after the Reserve Bank of India (RBI) approved the appointment of banker Surinder Chawla as Managing Director and CEO of Paytm Payments Bank.
In a stock exchange filing, the company stated that all of its businesses remained strong, with the emphasis remaining on its loan distribution business. The company reported “accelerated growth” in its lending business in December, with disbursements totaling Rs 3,665 crore.
“As a result, total disbursements for three months ended December 2022 was Rs 9,958 crore, a growth of 357% y-o-y. “The number of loans increased 117% year on year to 3.7 million in December, and 137% year on year to 10.5 million cumulative loans for the three months ended December 2022,” Paytm said in an exchange filing.
During the third quarter, the digital payments company also added one million new offline devices, bringing its total deployment to 5.8 million by December 2022. Paytm also reported that consumer engagement on its super app was at an all-time high, with 85 million average monthly transacting users (MTU) for the quarter.
Meanwhile, the company’s total merchant GMV for the quarter ended December 2022 was Rs 3.46 lakh crore, a 38 percent increase year on year. “Our focus over the past few quarters has remained on payment volumes that generate profitability for us, either through net payments margin or direct upsell potential,” the company stated.
