Paytm reports 107 pc growth in GMV for Q2 ahead of earnings
Ahead of its quarterly earnings announcement, One 97 Communications, which operates, announced an increase of 107 percent year-on-year in Gross Merchandise Value (GMV) for the quarter ending September 30, 2021.
GMV is defined as the total value of merchandise sold over a fixed time period by an ecommerce marketplace.
The GMV stood at Rs 1,95,600 crore for the quarter ending September 2021, as compared to Rs 94,700 crore for the quarter ending September 2020.
According to filings made by the company with the markets regulator, the GMV figure includes total payments made to merchants on the Paytm app, through its payment instrument or payment solutions. The figure did not include customer-to-customer transactions.
For the month of October 2021, the company recorded a GMV of Rs 83,200 crore, up 131 percent from Rs 36,000 crore for October 2020. This was driven by festive season spends and an increase in the number of merchants and consumers and increased adoption for digital payments both in-store and on devices deployed by Paytm.
Paytm founder Vijay Shekhar Sharma
The company also reported doubling down on loan disbursal quarter-on-quarter basis, through Paytm Postpaid and personal loans in partnership with financial institutions. For the second quarter of FY 2021-22, the company disbursed 2.8 million loans, as compared to 0.35 million loans for the year-ago period.
The company also reported a 33 percent year-on-year growth of Monthly Transacting Users (MTU) for the second quarter. MTU takes into account unique users with at least one successful transaction in a month.
The number of Point-of-Sale (POS) devices deployed by Paytm rose to 1.3 million for the second quarter of FY 2021-22 from 0.3 million for the year-ago period. Paytm first launched its all-in-one Android POS device and all-in-one Android Smart POS in 2019. In 2020, the company had launched a low-priced handheld mobile POS and its smartphone-based Android POS app in 2021.
The company will announce its second-quarter results for FY 2021-22 on November 27, after going public on November 18. The company's shares opened at Rs 1,490 on November 22, at a discount of 4.69 percent.