One 97 Communications Reports Profitability Turnaround in FY 2026

Revenue grew to Rs 8,437 crore while the company turned from a loss to a Rs 552 crore profit.

Reader Takeaway: Strong monetization in financial services and merchant subscription growth are driving the company's return to profitability.

What just happened

One 97 Communications (Paytm) held its 26th Annual General Meeting on September 15, 2026. Shareholders approved key items including the adoption of audited financial statements, re-appointment of directors, and updates to the employee stock option scheme. The company confirmed there were no adverse remarks from statutory or secretarial auditors.

Why this matters

The company has demonstrated a major financial pivot, reporting a profit of Rs 552 crore for FY 2026 against a loss of Rs 663 crore in FY 2025. This turnaround of Rs 1,215 crore highlights effective cost management and scaling of high-margin segments like financial services, which grew 52% year-on-year to Rs 2,594 crore.

The backstory

Over the last fiscal year, Paytm expanded its reach, ending with 7.7 crore monthly transacting users. Its payment ecosystem saw Gross Merchandise Value reach Rs 23.8 lakh crore, a 26% increase over the previous year. Merchant subscriptions also rose significantly, reaching 1.51 crore units.

What changes now

Following the AGM resolutions, the company will proceed with revised remuneration frameworks for leadership and directors. It has also received approval to modify the timelines and utilization of remaining IPO proceeds, allowing for more flexible capital allocation in the current operating environment.

Risks to watch

Investors should monitor the impact of revised remuneration and ESOP frameworks on company expenses. Furthermore, the ability of the firm to maintain its 52% growth rate in financial services while navigating shifting regulatory and competitive landscapes remains a key monitorable.

What to track next

Watch for the upcoming quarterly disclosures to see if the momentum in merchant subscriptions and GMV continues to translate into consistent bottom-line growth.