Paytm drops bonus-share plan as Q1 profit and EBITDA beat expectations
Paytm parent One97 Communications scrapped its proposed bonus-share issue to focus on growth and profitability. June-quarter net profit rose 20% sequentially to Rs 220 crore, while EBITDA climbed 54% to Rs 203 crore; shares fell more than 2%.
Paytm’s board dropped its proposed bonus-share issue to prioritize long-term growth and profitability. Despite shares falling over 2%, June-quarter profit, revenue and EBITDA exceeded estimates, driven by merchant GMV growth, payments market-share gains and financial-services momentum.
Why this matters
The move follows Paytm's reported 83% year-on-year Q1 profit rise to ₹220 crore and plans to earmark up to ₹100 crore for Paytm Money, reinforcing a shift from shareholder actions toward operating growth.
Retail-company signals are accelerating, up 944100% QoQ.