Paytm cuts back on losses in FY20; reports revenue increase amid economic slowdown

The homegrown financial services platform reported a revenue increase to Rs 3,629 crore with a 40% decline in losses.

Vijay Shekhar Sharma’s Paytm has cut back on its losses drastically in the last financial year even while the country continued to face the heat of an economic slowdown. The homegrown financial services platform reported a revenue increase to Rs 3,629 crore with a 40% decline in losses thanks to an increase in number of transactions and point of sale devices, Paytm announced on Friday. SMEs and kirana stores have been rapidly adopting PoS devices, it added. Going forward, the company will focus on ramping up its financial services with lending, wealth management and insurance offerings as it has opened up new revenue streams.

“We are on the path to empowering millions of Indians with digital financial services that would play a key role in building Atmanirbhar Bharat. We are also investing heavily in building digital services for our merchant partners so that they can benefit from technology and financial inclusion,” Madhur Deora, President – Paytm said. 

Paytm has on boarded 17 million merchant partners for its payment and financial services and has registered a strong presence in Bharat. It has also launched a slew of merchant focused products such as Paytm for Business app, Soundbox, Business Khata, Payout services, among others. The same is expected to help transform the way SMEs do business in the country.

With hopes of becoming a formidable presence in India’s digital financial services landscape, the company is also going to focus on its Paytm Postpaid, Paytm Money & Paytm Insurance services offerings which are expected to contribute to an increased turnover in the coming fiscal years. 

Meanwhile, Paytm has increased hiring activities at a time when companies are laying off staff amid the coronavirus pandemic. It is now in the process of hiring over 1,000 engineers, data scientists, financial analysts, and other employees for various tech and non-tech roles.