One97 Communications Ltd, the parent company of Indian fintech firm Paytm, reported a net profit of ₹122.5 crore in the first quarter of fiscal year 2026 (Q1 FY26), marking its first-ever profit after a loss of ₹838.9 crore in the same period last year. The company’s revenue from operations rose 28% year-on-year to ₹1,918 crore, with payment services contributing ₹1,044 crore, up 18% year-on-year, and financial services distribution doubling to ₹561 crore. This turnaround is attributed to strategic cost-cutting measures, a sharper focus on payments, and a more stable quarter following regulatory curbs imposed by the Indian banking regulator over a year ago, which had previously impacted Paytm’s business. Despite the suspension of wallets and slowing growth, Paytm posted its first operational profit, signaling a potential recovery for the fintech company. Analysts remain cautious but note the positive shift in Paytm’s financial performance.