InvestorQ : Is it true that Paytm has reported strong loan business growth in April and May 2022?
Rashi Mehra made post

Is it true that Paytm has reported strong loan business growth in April and May 2022?

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Archita Jajjoo answered.
8 months ago
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In recent months, Paytm appears to have built a lot of positive traction in the lending business. This is more pronounced in the first two months of FY23. Paytm’s lending business clocked 55 lakh loan disbursals in April and May 2022, which is an all-time record. Apart from digital payments, Paytm also has a very robust digital lending platform. It witnessed annualized run rate of over Rs23,000 crore for loan disbursements. The deployment of devices across various merchant outlets crossed 34 lakh mark.

Paytm reported 55 lakh loan disbursals in April and May 2022, a growth of 471% yoy. Lending volumes were up almost 6 times. Paytm has disbursed loans worth Rs3,576 crore in April and May 2022. But more importantly the average ticket size increased sharply. The gross merchandise value (GMV) for May 2022 was up by 105% at Rs196,000 crore. However, the company is still making losses. However, the good news is that in the first two months of the fiscal year, the lending business has seen solid traction. That is good news.

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