Digitial payment giant Paytm, which had an astonishing rise after demonetisation in 2016, is betting on financial services, commerce and payments as three key focus areas

Digitial payment giant Paytm expects to turn profitable after two years as it is monetising the existing customer base and eyes financial services as its next major frontier for growth, its founder CEO Vijay Shekhar Sharma said.



Noida-based firm, which had an astonishing rise after demonetisation in 2016, is betting on financial services, commerce and payments as three key focus areas. In an interview with PTI, Sharma said Paytm’s growth is divided into three phases – first three years of finding the right product-market fit; the next was revenue and monetisation; and the last phase will be about profitability and free cash flows.

“We are in the second phase of that journey,” he said.  In 2015, Paytm started deploying QR codes and by 2018-19 completed its product-market fit. From 2019-20 onwards, it is monetising. “I would say at least 2 years because we are also a large dominant market share company and we wouldn’t want to lose market share while becoming profitable next quarter,” Sharma said when asked about the timelines for hitting profits.

In the last 12 months, Paytm has seen pre-tax losses cut – thanks to monetisation, and not reckless cost-cutting, he said, adding business like Paytm Payments Bank, commerce and cloud were already profitable, while Paytm FirstGames and Paytm Mall is “close to profitability”.



Paytm – which competes with Google Pay

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