Paytm Q3 FY25 results: Losses narrow to Rs 208.3 cr, revenue declines 36%

One97 Communications, the operator of the Paytm brand, reported a consolidated loss of Rs 208.3 crore in the third quarter of financial year 2025 (Q3 FY25), down from a loss of Rs 219.8 crore in Q3 FY24.

The loss follows a profitable Q2 FY25, when the company posted a net profit of Rs 928.3 crore, driven by the sale of its movie and ticketing business to food aggregator Zomato.

On a year-on-year (Y-o-Y) basis, the Noida-based company’s revenue declined 35.9 per cent, from Rs 2,850.5 crore in Q3 FY24 to Rs 1,827.8 crore in Q3 FY25. Sequentially, revenue rose 10.1 per cent, from Rs 1,659.5 crore in Q2 FY25.

The company has been reducing its expenses on both a Y-o-Y and sequential basis. In Q3 FY24, the fintech firm’s total expenses stood at Rs 3,216.3 crore, which decreased by 31 per cent to Rs 2,219.8 crore in Q3 FY25. Sequentially, expenses fell marginally by 1.1 per cent, from Rs 2,244.8 crore in Q2 FY25.

Employee benefits expenses, including share-based payments, declined 36.3 per cent, from Rs 1,187.2 crore in Q3 FY24 to Rs 756.3 crore in Q3 FY25. On a quarter-on-quarter (Q-o-Q) basis, this expense fell 9 per cent, from Rs 831 crore in Q2 FY25.

Payment processing costs also witnessed a significant decline, down 42 per cent from Rs 982.2 crore in Q3 FY24 to Rs 570.4 crore in Q3 FY25. Sequentially, these costs increased by 10.3 per cent from Rs 516.8 crore in Q2 FY25.

During the quarter ended December, the company’s wholly-owned Singapore entity sold its stake in Japanese fintech corporation PayPay to SoftBank Vision Fund 2 for Rs 2,364 crore. One97 Communications Singapore approved the sale of Stock Acquisition Rights (SARs) held in PayPay Corporation.