The revenue encountered by Paytm from their operations rose from 10.1% sequentially to 18.28 billion rupees. The revenue from the financial services that come from the loan business grew by 34% and the payment services business grew by 8%.
In January 2024 the Reverse Bank of India concluded Paytm’s banking unit mentioning president compliance issues, bringing worries to the digital payment industry. On the other hand, their expenses fell by 31% year-on-year and by 1% sequentially, primarily due to lower marketing and employee-related expenses.
Rahul Jain, the vice president of research from Dolat Capital, said “Paytm's fundamentals are improving and it seems like the regulatory hurdles are largely behind us,”. He also added, “The only pain point for Paytm remains the wallet business, which continues to bear the brunt of the RBI's embargo on Paytm Payments Bank.".
Paytm also said that earnings previous to interest, taxes, amortization, and depreciation that are before the cost of employee stock options were also negative 410 million rupees compared with negative 1.86 billion rupees from the quarter before, reported Reuters.
The company also mentioned that they had increased a default loss guarantee that reached up to 3.5 billion rupees c compared to the previous one of 2.25 billion rupees to its lending partner SMFG India Credit for loans for merchants.
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