Amazon Pay India's loss widens to Rs 1,868.5 Cr in FY20
Amazon Pay (India), the ecommerce giant's payments unit in India, saw its losses widen to Rs 1,868.5 crore in FY20 from Rs 1,160.8 crore in the fiscal ended March 2019, as per regulatory documents.
The company, which competes with players like Paytm, Flipkart's PhonePe, and Google Pay, saw its parent pumping in over Rs 2,700 crore investment in the financial year 2020.
Amazon Pay's total revenue for fiscal 2020 grew over 64 per cent to Rs 1,370 crore over Rs 834.5 crore in fiscal 2019, according to a Registrar of Companies filing shared by market intelligence firm Tofler.
"Amazon Pay continues to invest in driving adoption of digital payments through UPI, wallet, Pay Later, and credit and debit cards. We are encouraged by the rapid growth in customer adoption," an Amazon India spokesperson said.
The filing pointed out that Amazon Pay India had received Rs 2,705 crore in FY20 from Amazon Corporate Holdings Private Limited and Amazon.com.incs Limited.
Amazon Pay India allotted shares to these entities worth Rs 450 crore in June, Rs 900 crore in October, and Rs 1,355 crore in December 2019, the document said.
It added that shares worth over Rs 700 crore were allotted to these firms in September this year.
The filing said millions of customers use Amazon Pay for a wide variety of payments, including shopping on Amazon.in, recharges and bill payments, money transfers, and paying offline and online merchants.
Amazon Pay said it had partnered with various banking, NBFCs (Non-Banking Financial Companies), fintech, and merchant partners to deliver these services.
"This year, your company launched UPI for iOS users, launched the minimum KYC pre-paid instrument (PPI) wallet, scaled adoption of Amazon Pay ICICI credit card, operationalised the insurance corporate agency licence, and launched new ticketing use cases including flights, buses, and movies," the filing said.
The filing added that Amazon Pay continued to focus on "security and reliability" to ensure customers experience the ease and convenience of transacting digitally.
"COVID-19 lockdown and social distancing norms impacted our ability to onboard new offline merchants as well as perform in-person KYC for our wallet customers; albeit this situation has accelerated development of new remote technology-driven alternatives for these processes which we believe would both improve customer experience and reduce costs for the business," it said.