News Stocks Paytm Institutional Shareholding Grows As FPIs, Domestic Investors Hike Stake In Q3 FY26Paytm Institutional Shareholding Grows As FPIs, Domestic Investors Hike Stake In Q3 FY26
One 97 Communications experienced strong institutional investor participation in Q3 FY26, with Category I FPIs increasing their stake to 25.33% from 23.01% and domestic institutional ownership rising to 20.32%. Insurance companies significantly boosted their holdings to 4.77% from 2.71%, led by Tata AIA Life Insurance and SBI Life Insurance. The growing confidence reflects Paytm's strong Q2 FY26 performance with 24% YoY revenue growth to ₹2,061.00 crores and consecutive profitability.
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One 97 Communications Ltd. witnessed continued institutional participation in Q3 FY26, reflecting sustained confidence in the company's long-term growth trajectory and improving fundamentals. The quarter saw significant movements across different investor categories, with both foreign and domestic institutions demonstrating strong interest in the fintech major.
Foreign Portfolio Investment Surge
Foreign Portfolio Investors emerged as key incremental buyers during the quarter, with Category I FPIs demonstrating notable confidence in Paytm's prospects.
| Investment Category: | Q3 FY26 | Q2 FY26 | Change |
|---|---|---|---|
| Category I FPIs: | 25.33% | 23.01% | +2.32% |
| Foreign Direct Investment: | 25.18% | 27.44% | -2.26% |
The increase in FPI shareholding was driven by Paytm's inclusion in the MSCI Global Standard Index in November 2025. However, Foreign Direct Investment shareholding declined due to approximately 2% stake sale by Elevation Capital through a block deal in November 2025.
Domestic Institutional Interest Strengthens
Domestic investors continued their bullish stance on Paytm, steadily increasing their holdings during the quarter. The most significant growth came from insurance companies, reflecting strong confidence in the company's financial performance.
| Domestic Investor Type: | Q3 FY26 | Q2 FY26 | Growth |
|---|---|---|---|
| Total Domestic Institutional: | 20.32% | 19.95% | +0.37% |
| Insurance Companies: | 4.77% | 2.71% | +2.06% |
Tata AIA Life Insurance and SBI Life Insurance led the charge, significantly expanding their stakes during the quarter. This growing institutional confidence is underpinned by Paytm's consecutive quarter-on-quarter profitability and robust future earnings visibility.
Strong Operational Performance Drives Confidence
The institutional interest aligns with Paytm's strong operational performance in Q2 FY26. The company reported substantial growth across key metrics, supporting investor confidence in its business model.
| Financial Metric: | Q2 FY26 | Growth |
|---|---|---|
| Operating Revenue: | ₹2,061.00 crores | +24% YoY |
| PAT (before one-time charge): | ₹211.00 crores | Significant improvement |
| PAT (after one-time charge): | ₹21.00 crores | Positive territory |
The revenue growth was driven by rising subscription-paying merchants, higher payments GMV, and robust growth in financial services distribution. The company also reported a one-time charge of ₹190.00 crores for full impairment of loan to its joint venture, First Games Technology Private Limited.
Technology Integration and Future Focus
Paytm is steadily integrating artificial intelligence across its platform to enhance merchant experiences, strengthen risk management, and improve operational efficiency. The company's continued investment in AI reflects its focus on building future-ready, trusted technology as India's financial and payments ecosystem evolves. By embedding intelligence into everyday payment and commerce solutions, Paytm aims to support scalable growth while deepening engagement with businesses of all sizes.
Historical Stock Returns for One 97 Communications
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +0.43% | +2.95% | -9.62% | +12.38% | +55.01% | -22.37% |
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