Paytm on Monday claimed to have processed payments worth $1.6 billion on its platform during the festive season, between September 20 and October 20, thus clocking a 3.5 times increase in online and offline payments.
The SoftBank- and Alibaba-backed Paytm on Monday claimed to have processed payments worth $1.6 billion on its platform during the festive season, between September 20 and October 20, thus clocking a 3.5 times increase in online and offline payments as compared to the last festive season. “Mobile payments have become mainstream over the last few quarters. Owing to the convenience and security, people prefer Paytm to card and other modes of payments. This has resulted in about $1.6 billion worth of transactions in a month, making this the largest Diwali for mobile payments in India,” said Kiran Vasireddy, COO, Paytm.
The payment wallet claims to have posted growth across all its payment use-cases and categories. As per the company, food outlets, transportation and offline retailers have contributed the most to the overall surge in transactions, with more than 60% of the growth coming from Tier 2 and 3 cities, like Jaipur, Ahmedabad, Mysore and Vishakhapatnam.
Paytm claims that more than 5 million merchants across India accept payments through the wallet. In May this year, Paytm raised $1.4 billion from the SoftBank Group. Post-fund infusion, Paytm was valued at about $7 billion. According to documents filed with the Registrar of Companies (RoC), Paytm posted a net loss of Rs 1,534 crore in the financial year ended March 2016, a rise of 312% over the previous year.
In FY15, the Alibaba-backed firm had reported a net loss of Rs 372 crore on a revenue of Rs 336 crore. While the company had not furnished details of its revenues for the year ended March 2016, it has instead projected a revenue of Rs 869 crore for the year in the RoC filing.