Q3 Results: Paytm posts Q3 loss at Rs 208.50 cr, Zomato profit down 57.25%; L&T Finance, IDBI Bank, others releasing their Q3 results today

Dixon Technologies (India) Ltd on Monday posted a profit surge of 122.76 per cent for the fiscal third quarter at Rs 216.23 crore in comparison to Rs 97.07 crore recorded during the third quarter of FY24. It posted revenue from operations at Rs 10,453.68 crore, up 116.96 per cent as against Rs 4818.25 crore during the same period of previous fiscal year.

Oberoi Realty declared its third interim dividend for FY24-25 at the rate of Rs 2 per equity share i.e. 20 per cent of the face value of equity shares of Rs 10 each. In a regulatory filing, the company said, “This is to inform you that the Board of Directors of the Company at their meeting held on January 20, 2025 has declared 3rd interim dividend for FY24-25 at the rate of Rs 2 per equity share i.e. 20% of the face value of equity shares of Rs 10 each. Further, January 24, 2025 is the record date for the purpose of payment of the said interim dividend, and the said interim dividend shall be paid starting from February 10, 2025.”

Oberoi Realty Ltd on Monday announced its fiscal third quarter earnings with profit at Rs 618.38 crore, posting a jump of 71.70 per cent in comparison to Rs 360.15 crore during the third quarter of FY24. It posted revenue from operations at Rs 1411.08 crore, up 33.92 per cent as against Rs 1053.64 crore recorded during the same period of previous financial year. The company EBITDA stood at Rs 856 crore, up 68 per cent YoY.

Bernstein said that Paytm posted solid quarterly results despite a “gloomy operating environment”. The growth came from loan disbursements inching up, payment volumes benefitting from festive boosts, and continued cost control. The brokerage firm has maintained its ‘Outperform’ rating on the stock, with a target price of Rs 1,100.

Paytm posted Q3 loss of Rs 208.50 crore, down from a loss of Rs 221.70 crore recorded during the same period of previous financial year.

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Zomato’s cash balance increased to Rs 19,235 crore as at the end of the quarter, largely on account of the net proceeds of Rs 8,446 crore from QIP.

Akshant Goyal, CFO of Zomato, said, “As we continue to bring forward store expansion, our networks may have to carry a greater load of under-utilized stores which will impact near-term profits in the next one or two quarters. These investments will however also likely result in GOV growth remaining meaningfully above 100%, at least for FY25 and FY26. Once we come out from this period of expansion, the business is likely to turn sharply from being loss making to becoming meaningfully profitable as a larger part of our business starts comprising mature stores compared to newly added ones. We remain confident of navigating the short term (expansion/ competition) with focus and discipline.”

Albinder Dhindsa, CEO, Blinkit, said, “To us, the biggest impact of the intensifying competition has been the acceleration in customer awareness and adoption of quick commerce. We have seen this play out in the early days of the food delivery business as well, when heightened competition led to higher investments in customer acquisition across the industry as a whole. This eventually (disproportionately) benefitted players with sustained good quality execution. In addition to that, heightened competition has led to a pause in margin expansion in the business, which is expected and should be temporary. So far, we have not seen any attrition of our core customers which tells us that customers are continuing to choose Blinkit over other options.”

Zomato announced that the GOV of its B2C business grew by 57 per cent YoY to Rs 20,206 crore during Q3FY25. On a like-for-like basis (excluding the impact of the acquisition of Paytm’s entertainment ticketing business), GOV growth was 52 per cent YoY, it said.

– Food delivery GOV grew 17 per cent YoY

– Quick commerce GOV grew 120 per cent YoY, and

– Going-out GOV grew 191 per cent YoY

Zomato’s B2B business Hyperpure’s revenue grew 95 per cent YoY.

Zomato on Monday reported its fiscal third quarter results with profit at Rs 59 crore, posting a significant drop of 57.25 per cent in comparison to Rs 138 crore recorded during the same period of previous financial year. It posted revenue from operations at Rs 5405 crore, up 64.39 per cent as against Rs 3288 crore during the third quarter of FY24. The company EBITDA stood at Rs 162 crore.

Looking at the business outlook and opportunities, the company has planned and committed the highest capex (including carry forward commitments) of around Rs 1500 crore. “Total cash outflow towards capex has been Rs 718 crore during the first nine months and is likely to reach around Rs 1000 crore for the year. Entire capex outflow shall be funded from internal accruals,” said MP Taparia, Managing Director, Supreme Industries.

MP Taparia, Managing Director, The Supreme Industries Limited, said, “Plastic Pipe Systems business growth continues to be adversely affected due to adverse PVC resin prices scenario and demand from infra spend not picking up as envisaged. Considering better demand in the second half of the year in the segments served by the Company, the Company had earlier envisaged 16-18% volume growth for the current year for the Plastic Piping System. The business fared poorly in the third quarter as PVC prices in open market were quite low compared to domestic producer prices and due to extended winter rainfall in South India and some Eastern states. The Company expects good demand from Agri and Housing segments for the last quarter. The entire distribution pipeline has de-stocked seeing the continued fall in prices. As the prices have reached a low level, the Company expects good demand going forward in the current quarter. The Company also expects some improvement in infra sector demand, as this being the last quarter of the financial year. The international PVC prices have stabilized at a low level.”

Supreme Industries Ltd on Monday reported its fiscal third quarter results with profit at Rs 186.97 crore, recording a drop of 27.01 per cent in comparison to Rs 256.17 crore during the same period of previous financial year. It posted revenue from operations at Rs 2509.88 crore, up 2.48 per cent as against Rs 2449.10 crore during the third quarter of FY24. In a regulatory filing, the company said that it continues to be debt free and having a cash surplus of Rs 290 crore as on 31st December, 2024.

JM Financial said, “In Food Delivery, we forecast sequential GOV growth of 3.9% (+18.6% YoY). We see MTUs growing to 20.8mn versus 20.7mn in Q2FY25, whereas ordering frequency and AOV’s can grow 1%/2% QoQ, respectively. Take-rates are likely to expand to 21.3% in Q3FY25 versus 20.8% in Q2FY25 due to platform fees increase from Rs 6 to Rs 10. A mix of robust GOV growth and take-rate expansion should lead to sequential revenue growth of 7% (+26% YoY). We expect contribution margin (as % of GOV) to expand to 8.1% from 7.6% in Q2, while Adj. EBITDA margin (as % of GOV) can expand ~40bps sequentially to 3.9%.

In Blinkit, we expect sequential GOV growth of 22% led by robust increase of 19% in order volumes (that in turn should be driven by MTU increase from 8.9mn to 10.5mn). However, take-rates may come down a bit to 18.8% from 18.9% in Q2. We see contribution margin contracting to 2.5% (as % of GOV) versus 3.8% in Q2, primarily due to aggressive store and warehouse expansion and partly due to high competitive intensity in the space.”

While Indian Overseas Bank recorded gross NPA at 2.55 per cent as against 3.90 per cent during Q3FY24, net NPA came in at 0.42 per cent from 0.62 per cent during the third quarter of FY24. Provisions stood at Rs 1029 crore vs Rs 701 crore YoY.

After Indian Overseas Bank released its Q3 results, share price of the Bank went up by 4.5 per cent.

Indian Overseas Bank on Monday announced its fiscal third quarter results with standalone profit at Rs 873.66 crore, posting a growth of 20.91 per cent in comparison to Rs 722.56 crore recorded during the third quarter of FY24. It posted total income during the quarter in review at Rs 8409.25 crore, up 13.07 per cent as against Rs 7437.17 crore posted during the same period of previous financial year. The Net Interest Income (NII) stood at Rs 2789 crore, up 16 per cent YoY.

Paytm’s cash balance stood at Rs 12,850 crore as of quarter ending December 2024, as compared to Rs 9,999 crore as of quarter ending September 2024. The number, it said, excludes Paytm Money Ltd (PML) customer funds of Rs 412 crore for September 2024 and Rs 287 crore for December 2024. “Cash balance increase of Rs 2,851 crore QoQ was primarily on account of cash received towards the sale of Stock Acquisition Rights of PayPay Corporation, Japan and improvement in working capital. The sale proceeds of PayPay stake are held by OCL Singapore in USD,” the company said.

Capex for Q3FY25 was Rs 80 crore, taking the 9MFY25 capex to Rs 176 crore versus Rs 680 crore for 9MFY24. In a statement, Paytm said, “Lower capex is largely on account of reduction in cost of devices and focus on refurbishment of devices (cost of refurbishment of devices is included in other indirect costs). This has resulted in depreciation and amortization (D&A) expenses for Q3 to come down to Rs 165 crore, a reduction of 7 per cent QoQ and 18 per cent YoY. Given lower capex in FY25, we expect D&A to keep coming down in the coming quarters.”

• Payment services revenue of Rs 1,059 crore, up 8% QoQ; Financial services revenue increased sharply to Rs 502 crore, up 34% QoQ

• Net payment margin of Rs 489 crore, up 5% QoQ; GMV of Rs 5.0 lakh crore, up 13% QoQ

• Merchant subscriber base for devices has reached 1.17 crore as of Dec’24, addition of 5 lakh QoQ

• Operating revenue of Rs 1,828 crore, up 10% QoQ

• Contribution profit of Rs 959 crore, up 7% QoQ; contribution margin of 52%

• EBITDA before ESOP of Rs (41) crore, an improvement of Rs 145 crore QoQ

• EBITDA of Rs (223) crore, an improvement of Rs 181 crore QoQ

• PAT of Rs (208) crore, an improvement of Rs 208 crore QoQ

• Cash balance of Rs 12,850 crore, increased by Rs 2,851 crore QoQ, largely on account of PayPay stake sale and improvement in working capital

One 97 Communications Ltd, the parent company of Paytm, on Monday released its fiscal third quarter earnings report with a loss of Rs 208.50 crore, down from a loss of Rs 221.70 crore recorded during the same period of previous financial year. It posted revenue from operations at Rs 1827.80 crore, reporting a drop of 35.88 per cent in comparison to Rs 2850.50 crore recorded during the third quarter of FY24.

JM Financial said, “Q2 was a quarter of slowing demand, earnings cuts across the board, worrying commentary and an unfavourable macro-environment. Through Q3, FIIs offloaded stock to the tune of $11.8 billion, driving down the Nifty50 10% from its peak. Sectors that saw the highest outflows included oil & gas ($5.4bn), auto ($2.6bn), and BFSI ($2.5bn). What left investors unexcited was the slowdown in urban consumption, weaker-than-expected pickup in capex, and stress in unsecured lending books. Incrementally, Donald Trump’s victory in the US presidential elections has paved the way for a stronger US economy, which is causing money to flow back to the US.”

An analysis report by Elara securities stated, “Wipro’s Q3 revenue was in the middle of the guidance issued at the end of Q2. Revenue growth was better in the US markets but weak in other markets. The company is taking corrective actions as regards the new leadership in APMEA and some markets in Europe to revive growth. Margin performance continued to improve, led by higher offshoring and more fixed-price contracts. This performance may continue in the coming quarters. Deal wins were steady but continued to be lower than the peak achieved a few quarters’ ago – Improvement here would help revive confidence as regards growth.”

Emkay Global said, “Growth was reasonably broad-based with 5 of the 7 verticals seeing CC QoQ growth. Deal activities continue to be driven by consolidation and cost takeout opportunities. Management expects CY25 to be better than CY24, but suggested that it is likely to be an incremental improvement and not a v-shaped recovery. Deal intake improved sequentially to $745 million and remained broad-based. The large deal build up is steady and management is confident of gradually growing faster than peers. Tech Mahindra continues to prioritize margin over growth in the near term, and is therefore selectively participating in large deals. It remains confident on delivering its medium term margin aspiration of 15% by FY27.” Tech Mahindra had posted Q3 results on January 17.

With headwinds behind, an analysis report by JM Financial said that Paytm is expected to deliver 23 per cent revenue growth over FY25-30, with EBITDA margin of 20.7 per cent in FY30, driven by higher take-rates in credit distribution as well as payments and tight control on most cost line-items.

“Paytm reported FY21-24 revenue CAGR of 53 per cent, with the company delivering adjusted EBITDA of Rs 5.6 billion in FY24 (vs Rs 16.5 billion loss in FY21), implying marginal incremental profitability of 30%+. We expect the company’s mid-fifties contribution margin to expand further by 500bps in 5 years, driven by take-rates rising across its commission / subscription based revenue income. Hence, post the realignment in FY25, we forecast the company to sustain its MIP track record with FY25-30 MIP at 36 per cent,” it said.

Today, companies like Zomato, Oberoi Realty, One 97 Communications Paytm, L&T Finance, Newgen Software Technologies, Karur Vysya Bank, Jammu and Kashmir Bank, Sunteck Realty, Indian Railway Finance Corporation, Indian Overseas Bank, IDBI Bank, Central Bank of India, APL Apollo Tubes, ICICI Securities, and others are lined up to announce their fiscal third quarter results.

Greetings! With the fiscal third quarter earnings season in full swing, we, at FinancialExpress.com, will keep bringing you all the updates on the Q3 numbers while also analysing the performance by companies during the quarter. Stay tuned.