Payments Vs Lending: The Tale Of Paytm’s Two Engines
This feature examines Paytm's evolution from a purely payments-focused company to one where financial services distribution (primarily lending) has grown 83% CAGR and now accounts for 31% of topline revenue. Payment services remain the largest segment at 58% but grew slower at 19% CAGR. The company achieved profitability in FY26 (₹552 Cr net profit) after losses in FY25, driven largely by the lending pivot. The article explores how potential UPI MDR policy changes and AI integration could reshape the company's revenue structure.
Key points
- Financial services distribution grew 83% CAGR while payments grew only 19% CAGR
- Lending now contributes 31% of revenue, up from under 5% five years ago
- Returned to profitability in FY26 on the back of diversification into lending
Summary and key points written by AI from the headline and a short excerpt, so they can be incomplete or wrong. Inc42 Features did the reporting; read the original for the full story.
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