Paytm Shares Surge 6% Following Fourth Consecutive Quarterly Profit
Paytm share price jumps 6% after fourth straight quarterly profit: More upside ahead on cards?
Mint
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Shares of One97 Communications, the parent company of Paytm, rose 6% after reporting a net profit of ₹184 crore for the fourth consecutive quarter. This marks a significant recovery from a net loss of ₹540 crore during the same period last year, indicating a positive trend for the fintech firm.
- 01Paytm's share price increased by 6% after the company reported its fourth straight quarterly profit.
- 02The net profit of ₹184 crore represents a turnaround from a net loss of ₹540 crore in the previous year.
- 03Revenue from operations rose by 18.4% year-on-year to ₹2,264 crore.
- 04Paytm shares have recovered 20% from their March lows, trading at ₹1,110.
- 05The company clarified it has no exposure to Paytm Payments Bank following the cancellation of the bank's license.
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Shares of One97 Communications, the parent company of Paytm, surged by 6% in early trading on May 7, following the announcement of its fourth consecutive quarterly profit. The fintech company reported a net profit of ₹184 crore for the fourth quarter, a notable recovery from a net loss of ₹540 crore during the same period last year. Revenue from operations also saw an increase of 18.4% year-on-year, reaching ₹2,264 crore. This positive financial performance has led to a 20% recovery in Paytm's share price from its lows in March, with shares trading at ₹1,110. Additionally, Paytm clarified that it has no exposure to Paytm Payments Bank, as its investment had already been impaired by March 31, 2024, following the Reserve Bank of India's cancellation of the bank's license. Analysts anticipate further upside for Paytm's share price, reflecting a sustained turnaround in the company's financial trajectory.
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The rise in Paytm's share price reflects growing investor confidence, which could lead to increased market stability and potential job growth within the fintech sector.
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