Paytm, operated by One97 Communications Ltd, reported its Q3 FY2025 financial results, showing a net loss of ₹208 crore, an improvement from ₹221.7 crore in the same quarter last year. Revenue declined by 36% year-on-year to ₹1,828 crore, compared to ₹2,850.5 crore in Q3 FY2024. On a quarter-on-quarter basis, revenue grew by 10%, driven by a 13% increase in gross merchandise value (GMV) to ₹5 lakh crore, an 8% rise in payment services revenue to ₹1,059 crore, and a 34% increase in financial services revenue to ₹502 crore. The company’s merchant subscriber base grew by 5 lakh to 1.17 crore as of December 2024. Sequentially, the adjusted loss narrowed, supported by an increase in other income to ₹189 crore. Paytm also reported a cash balance increase of over 50% to ₹12,850 crore, attributed to the sale of its entertainment business and its stake in PayPay Corporation. The company highlighted five key areas for driving profitability, including compliance, merchant payment innovation, customer acquisition, financial services expansion, and leveraging AI. Despite narrowing losses, Paytm’s stock declined 2.9% to an intraday low of ₹873 on the BSE following the results announcement.