Brands
Paytm swings to profit in FY26 as revenue jumps 22 per cent
One 97 posts Rs 552 crore profit after last year’s Rs 663 crore loss
MUMBAI: After years of cash burn, compliance heat and market scepticism, Paytm finally seems to have found its balance sheet rhythm. One 97 Communications, the parent company of Paytm, reported a consolidated net profit of Rs 552 crore for FY26, marking a sharp turnaround from the Rs 663 crore loss it posted a year earlier. The fintech giant’s revenue from operations climbed 22 per cent year-on-year to Rs 8,437 crore, up from Rs 6,900 crore in FY25.
For a company once synonymous with aggressive expansion and investor anxiety in equal measure, the latest numbers suggest the business may finally be moving from survival mode to stability.
Total income for FY26 stood at Rs 9,291 crore, compared to Rs 7,625 crore last year, while total expenses fell to Rs 8,521 crore from Rs 9,096 crore. The combination of stronger revenues and tighter spending helped the company swing into the black.
The March quarter added further momentum. Paytm posted a quarterly profit of Rs 183 crore in Q4 FY26 against a loss of Rs 545 crore in the same quarter last year. Revenue from operations for the quarter rose to Rs 2,264 crore from Rs 1,912 crore a year ago.
The cost story was equally telling. Marketing and promotional expenses declined to Rs 536 crore for FY26 from Rs 659 crore last year, while employee benefit expenses dropped sharply to Rs 2,765 crore from Rs 3,288 crore. Other expenses also narrowed to Rs 1,418 crore from Rs 1,695 crore.
Meanwhile, payment processing charges increased to Rs 2,573 crore from Rs 2,125 crore, reflecting higher transaction activity across the platform.
Paytm’s balance sheet also showed strengthening liquidity. Cash and cash equivalents stood at Rs 3,285 crore as of March 31, 2026, up from Rs 2,077 crore a year earlier. Total equity attributable to owners of the parent rose to Rs 16,026 crore, compared to Rs 15,027 crore in FY25.
The company’s total assets expanded to Rs 23,915 crore from Rs 21,448 crore last year.
In a sign that the company is still recalibrating parts of the business, Paytm recorded exceptional gains of Rs 823 crore during FY26, compared with exceptional losses in the previous year.
Operationally, the fintech player appears to be trimming excess while doubling down on core payments and financial services. Employee stock expenses, cloud infrastructure costs and operational spending remained under watch, while interest income and investment gains provided additional support to the bottom line.
The turnaround also comes after a turbulent phase for the company and India’s fintech ecosystem, marked by regulatory scrutiny, business restructuring and heightened investor pressure.
For now, though, the numbers tell a different story. The company that once spent heavily to buy growth is increasingly trying to prove it can earn it too.
