Paytm Q2 Results: Profit rockets 976% YoY to Rs 226 crore, revenue jumps 28%

What happened: Paytm reported Q2 profit of Rs 226 crore, up 976% year on year, with revenue up 28%. Profit rose 3% sequentially from Rs 220 crore in the June quarter. Key numbers: Profit Rs 226 crore, up 976% YoY. Revenue up 28%. EBITDA Rs 270 crore, up 90%, margin 10% vs 7%. Why it matters: Paytm expects higher default loss guarantee costs from the December quarter as it expands loan distribution, but expects EBITDA to keep improving. It estimates a proposed UPI merchant discount rate could lift payment processing margin by around 2.5 basis points.

Paytm reported Q2 profit of Rs 226 crore, up 976% year on year, with revenue up 28%. Profit rose 3% sequentially from Rs 220 crore in the June quarter.

Paytm expects higher default loss guarantee costs from the December quarter as it expands loan distribution, but expects EBITDA to keep improving. It estimates a proposed UPI merchant discount rate could lift payment processing margin by around 2.5 basis points.