Paytm shares plunge 5% on likely block deal
Paytm, fell over 5% to the day's low of Rs 877.15 on the NSE on Friday following reports of a block deal. The price correction was amid high volumes with over 1.78 crore shares changing hands at around 9:45 am.
The block deal saw shares worth Rs 1,441 crore changing hands, CNBC-TV18 reported.
The multibagger stock has given 104% returns over the last 12 months and significantly outperformed Nifty50 with nearly 8% returns during this period.
The uptick over the year has been on improved earnings. The fintech major narrowed its losses for the quarter ended September 2023 to Rs 290 crore from Rs 357 crore in the preceding June quarter and Rs 571 crore in the previous year quarter.
Revenue from operations during the reporting period jumped 32% year-on-year (YoY) to Rs 2,519 crore.
The same stood at Rs 1,914 crore a year ago.
EBITDA (before ESOPs) further improved in the second quarter to Rs 153 crore as against Rs 84 crore in the first quarter.
Contribution profit for the reporting quarter rose 69% YoY to Rs 1,426 crore, with a contribution margin of 57%.
Segment-wise, revenue from payments business increased 28% YoY to Rs 1,524 crore, while net payment rose 60% YoY to Rs 707 crore.
The gross merchandise value (GMV) from the payments segment surged 41% YoY to Rs 4.5 lakh crore.
The merchant paying subscriptions for devices reached 92 lakh at the end of the September quarter.
In the loan distribution business, revenue from financial services and others increased 64% YoY to Rs 571 crore.
Unique users, who have taken loans through the Paytm platform reached 1.18 crore. The loan disbursal continues to scale with a growth of 122% YoY at Rs 16,211 crore.
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