One 97 Communications Limited , the parent company of Paytm, has reported a consolidated net profit of ₹21.00 crores for the quarter ended September 30, marking a 98% decline from ₹928.00 crores in the same period last year. The company's revenue from operations grew by 24% year-over-year to ₹2,061.00 crores, driven by increased subscription merchants, higher payments GMV, and growth in financial services distribution.

Financial Performance Highlights

Contribution Profit margin stood at 59%. The company's growth was primarily driven by its payments and financial services segments, with the financial services segment showing particularly strong performance led by merchant loan distribution and enhanced collection performance.

Subsidiary Investment Completed

On December 12, 2025, One 97 Communications completed the additional investment of ₹2,250 crores in its wholly owned subsidiary, Paytm Payments Services Limited, through subscription to its Rights Issue of Equity Shares. This investment, previously approved by the board, aims to strengthen PPSL's net worth, fund acquisition of offline merchant payment business, support working capital needs, and maintain leadership in merchant payments business.

Corporate Developments

Exceptional Items Impact

The significant decline in profit was attributed to a one-time charge of ₹190.00 crores for full impairment of a loan to joint venture First Games Technology. Without this charge, the profit would have been ₹211.00 crores.

Strategic Focus Areas

One 97 Communications outlined four focus areas for future growth: expanding merchant leadership, growing financial services distribution, driving AI-first innovation, and evaluating new international markets as a long-term growth driver, expected to contribute meaningfully after 2-3 years.

One 97 Communications , the parent company of Paytm, has completed the acquisition of majority stakes in two of its subsidiaries, marking a significant step in simplifying its group structure. The company, in a regulatory filing, announced that it has acquired the remaining 51% stake in both Paytm Intelligence Limited and Paytm Life Insurance Limited.

Key Highlights of the Acquisition

• Paytm Intelligence Limited: One 97 Communications acquired a 51% stake from VSS Holdings Private Limited, which is wholly owned by Vijay Shekhar Sharma.
• Paytm Life Insurance Limited: The company purchased a 51% stake directly from Vijay Shekhar Sharma.

Implications of the Acquisition

This strategic move has transformed both entities into wholly-owned subsidiaries of One 97 Communications. The acquisition aligns with the company's previously announced plans to streamline its group structure, potentially leading to more efficient operations and clearer corporate governance.

Transaction Details

This restructuring may signal One 97 Communications' intent to consolidate its operations and potentially streamline decision-making processes across its various business verticals. As the fintech landscape continues to evolve, such strategic moves could position the company to respond more effectively to market changes and regulatory requirements.

Investors and market watchers will likely keep a close eye on how this consolidation impacts the company's operational efficiency and financial performance in the coming quarters.