Paytm’s Profit Rises After Turnaround Boosts Bottom Line

Paytm reported a 79% rise in net profit, reflecting cost cuts as well as growth across its payments and financial services businesses.

The company, listed as One 97 Communications Ltd., reported consolidated net income of 2.2 billion rupees ($22.8 million) in the fiscal first quarter through June, compared with the average estimate of 1.88 billion rupees. Revenue rose 28% to 24.48 billion rupees, Paytm said Monday.

Founder Vijay Shekhar Sharma has been rebuilding Paytm following regulatory crackdowns in 2024. He has since pared expenses, sold off noncore assets, expanded partnerships with lenders and focused on profitable businesses such as loan distribution and merchant payments.

Distribution of personal loans and wealth products as well as consumer monetization is becoming a powerful revenue engine, Paytm said in the statement.

Sharma is now seeking to hire about 4,000 people over the next few months as part of a pivot aimed at expanding the fintech’s merchant network and artificial intelligence-driven product offerings.

Paytm shares have risen about 4% this year, outperforming the broader Mumbai market.