Revenue from operations rose 18% YoY to Rs 2264 crore.
Paytm’s EBITDA turned positive at Rs 132 crore, against a loss of Rs 88 crore a year ago, although it moderated from Rs 156 crore in the December quarter. EBITDA margin stood at 6%, compared with a negative 5% a year earlier.
The company said its comparable EBITDA, excluding UPI and PIDF incentives, improved by Rs 330 crore YoY, reflecting stronger organic profitability.
The payments business remained the largest contributor, with revenue rising 21% to Rs 1,265 crore in the quarter, while revenue from financial services distribution grew 38% to Rs 750 crore. Marketing services revenue declined 10% to Rs 239 crore.
Merchant payment volumes continued to expand, with gross merchandise value (GMV) rising 27% YoY to Rs 6.5 lakh crore, while subscription merchants, including device merchants, rose to 1.51 crore from 1.24 crore a year ago. Monthly transacting users stood at 7.7 crore, up from 7.2 crore last year.
Contribution profit for the quarter increased 17% to Rs 1,254 crore, while direct expenses rose 20% to Rs 1,010 crore. Indirect expenses declined 3% to Rs 1,122 crore, aided by lower marketing and employee costs. For the full financial year FY26, Paytm posted its first annual profit of Rs 552 crore, compared with a loss of Rs 663 crore in FY25. Annual revenue from operations rose 22% to Rs 8,437 crore, while EBITDA improved to Rs 502 crore from a loss of Rs 1,506 crore last year.
The company ended March with a cash balance of Rs 13,315 crore, up from Rs 12,809 crore a year earlier, giving it a cash addition of over Rs 500 crore during the year.
Management said revenue growth is expected to accelerate in FY27, supported by merchant payment expansion, scaling of its asset-light financial services business, consumer monetisation and AI-led operating leverage.