One 97 Communications Limited , the parent company of Paytm, has announced the approval of 93,244 stock options for eligible employees under its One 97 Employees Stock Option Scheme 2019 (ESOP 2019). The decision was made by the company's Nomination and Remuneration Committee (NRC) during a meeting held on July 21, 2025.

Key Details of the Stock Option Grant

• Number of Options Granted: 93,244 stock options
• Exercise Price: ₹9.00 per stock option
• Conversion: Each stock option is convertible into one fully paid-up equity share with a face value of ₹1.00

The company also reported that 128,789 stock options have lapsed in accordance with the terms and conditions of the ESOP 2019 scheme.

Scheme Compliance and Exercise Period

The ESOP 2019 scheme is in compliance with the SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. Employees granted these stock options can exercise them at any time during their continuous active employment from the date of vesting of the respective options.

Significant Terms of the ESOP 2019

The scheme includes provisions for handling stock options in various scenarios such as:

• Death
• Permanent incapacity
• Resignation
• Termination
• Retirement
• Abandonment

It also allows for adjustments in case of corporate actions like rights issues, bonus issues, stock splits, or mergers.

Importantly, the equity shares allotted upon exercise of the stock options will not be subject to any lock-in period.

Corporate Governance

The approval of these stock options demonstrates One 97 Communications' commitment to employee retention and aligning employee interests with those of the company. This move comes as part of the company's ongoing efforts to strengthen its position in the competitive fintech landscape.

The NRC meeting for this approval commenced at 07:48 p.m. (IST) and concluded at 08:08 p.m. (IST) on July 21, 2025. The company has duly informed the stock exchanges of this development in compliance with regulatory requirements.

One 97 Communications continues to focus on enhancing shareholder value while also prioritizing employee incentives through such equity-based compensation plans.

One 97 Communications Limited (Paytm) has reported a significant turnaround in its financial performance for the first quarter, marking a milestone in the company's journey towards profitability.

Key Financial Highlights

• Revenue Growth: Paytm's operating revenue grew by 28% year-over-year to ₹1,918.00 crore, driven by an increase in merchant subscriptions, higher Gross Merchandise Value (GMV), and growth in financial services distribution.

• Profitability Achievement: The company reported a Profit After Tax (PAT) of ₹123.00 crore, a substantial improvement from the ₹840.00 crore loss in the same quarter last year.

• EBITDA Performance: Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) turned positive at ₹72.00 crore, with a margin of 4%.

• Contribution Profit: Paytm's contribution profit rose by 52% year-over-year to ₹1,151.00 crore, with the contribution margin expanding to 60%, up 10 percentage points from the previous year.

Operational Metrics

• Merchant Base Expansion: Paytm's subscription merchants, including those using Paytm devices, reached an all-time high of 1.30 crore, reflecting a growth of 21 lakh year-over-year.

• GMV Growth: The company's Gross Merchandise Value (GMV) increased by 27% year-over-year to ₹5.39 lakh crore.

• User Engagement: Monthly Transacting Users (MTU) averaged 7.4 crore for the quarter.

Segment Performance

Payment Services

Revenue from payment services, including other operating revenue, grew by 23% year-over-year to ₹1,110.00 crore. Net payment revenue saw a 38% year-over-year increase to ₹529.00 crore.

Financial Services Distribution

This segment witnessed a remarkable 100% year-over-year growth, with revenue reaching ₹561.00 crore.

Marketing Services

Revenue from marketing services stood at ₹247.00 crore.

Strategic Developments

Paytm's board meeting also saw several key decisions and appointments:

• Board Changes: Ms. Urvashi Sahai was appointed as an Additional Director in the capacity of Whole-time Director for a five-year term, subject to shareholder approval.

• Executive Movements: Mr. Madhur Deora, currently serving as Executive Director, President & Group CFO, will not seek re-appointment at the upcoming Annual General Meeting (AGM) but will continue in his role as President and Group CFO.

• Independent Director Resignation: Mr. Bimal Julka resigned as an Independent Director to pursue interests in emerging technologies.

• New Project Approval: The board approved an ₹800.00 crore Engineering, Procurement, and Construction (EPC) contract with Manorview Developers Private Limited, a subsidiary of Adani Infrastructure & Developers Private Limited, for developing an IT/ITES complex in Noida.

• Auditor Appointment: M/s Chandrasekaran Associates was appointed as Secretarial Auditors for a five-year term.

Vijay Shekhar Sharma, Chairman, Managing Director, and CEO of Paytm, commented on the results, stating, "Our focus on innovation and AI-driven efficiencies has led to this significant turnaround. We're committed to maintaining this momentum and creating long-term value for our shareholders."

As Paytm continues to solidify its position in India's digital payment and financial services landscape, the company's achievement of profitability marks a crucial milestone in its growth trajectory. The focus now shifts to sustaining this performance and capitalizing on the expanding opportunities in the fintech sector.