Paytm Board Takes Key Decision

Despite reporting strong June quarter results, Paytm’s parent company One97 Communications has decided not to proceed with its proposed bonus equity share issue for now. The company said the board decided to focus more on growth and profitability to create long-term value for shareholders. Paytm reported a net profit of ₹220 crore in the April-June quarter, marking a 79% increase compared with ₹123 crore in the same period last year.

The company’s operating revenue increased 28% to ₹2,448 crore, while EBITDA rose 182% to ₹203 crore during the quarter. Paytm’s gross merchandise value (GMV) grew 31% to ₹7.1 lakh crore. Net payment revenue stood at ₹601 crore, while financial services revenue reached ₹814 crore. Paytm also plans to invest ₹100 crore in Paytm Money and raise additional capital through a rights issue.