Paytm's Soars with 24% Revenue Increase amid AI Innovations in Q2 FY26

Paytm, the flagship of One 97 Communications Limited, has once again proven its mettle as India's foremost mobile payments and financial service provider, announcing a 24% year-on-year revenue growth for the quarter ending September 2025. This uptick, translating to Rs 2,061 crore, is fueled by robust merchant subscription growth and a significant rise in Gross Merchandise Value (GMV).

The company has reported a 63% increase in revenue from financial services distribution, reaching Rs 611 crore. This escalation is attributed to strong performances in merchant loans and enhanced collection processes. The quarter also saw 6.5 lakh consumers and merchants utilizing Paytm's financial services, underscoring its expanding footprint.

EBITDA stands at Rs 142 crore, reflecting a 7% margin, while Profit After Tax (PAT) improved to Rs 21 crore, after accounting for a one-time charge. Notably, Paytm's payment services revenue grew by 25% YoY to Rs 1,223 crore. Merchant subscriptions hit a record high, attributed largely to the successful deployment of its AI Soundbox, which has seen significant uptake nationwide. Meanwhile, indirect expenses decreased by 18%, mainly due to a sharp cut in marketing costs.

As it maintains its growth momentum, Paytm continues to harness artificial intelligence, enhancing customer interaction and operational efficiency. The company remains steadfast in its mission to bolster India's MSMEs through strategic innovation and disciplined execution. With innovative AI solutions driving its next phase, Paytm is poised to deepen its impact in the digital economy.