One97 Communications (PAYTM) investor relations material

Executive summary

• Achieved first full year of profitability in FY 2026, with a ₹2,008 Cr EBITDA swing year-over-year and PAT of ₹552 Cr, excluding one-time items.

• Strong growth in payments and financial services, with payments contributing 55% and financial services 30% of revenue for the year ended March 2026.

• Revenue for FY 2026 grew 22% year-over-year to ₹8,437 Cr, with market share gains in both merchant and consumer payments.

• Audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, were approved, with an unmodified audit opinion from the statutory auditors.

• AI investments prioritized for both product and operational enhancements, with focus on agentic interfaces and automation.

Financial highlights

• Payment processing margins improved from over 3 basis points to over 4 basis points year-over-year, with GMV up 27% compared to Q4 last year.

• FY 2026 EBITDA reached ₹502 Cr (6% margin), a turnaround from a loss of ₹1,506 Cr in FY 2025.

• Distribution of financial services revenue grew 52% YoY to ₹2,593 Cr.

• Indirect expenses for FY 2026 declined 16% YoY to ₹4,358 Cr, reflecting cost discipline.

• Consolidated revenue from operations for FY26 was INR 8,437 crores, up from INR 6,900 crores in FY25; Q4 FY26 revenue was INR 2,264 crores.

Outlook and guidance

• Revenue growth acceleration in FY 2027 expected to be broad-based across payments, financial services, and marketing services.

• EBITDA margin expansion anticipated over the next year, with significant operating leverage.

• Full-year benefit of AI-led product innovation anticipated in FY 2027.

• No plans to pursue an NBFC license; focus remains on distribution and technology partnerships with lenders.

• ESOP costs for FY 2027 projected at ₹250-300 Cr.