Profitability turnaround, AI-led efficiencies drive positive outlook on Paytm stock

▤ Summary

Paytm’s parent, One 97 Communications, posted a strong FY26 turnaround with full-year profitability, higher revenue, and improved market sentiment. The company says AI-driven efficiencies helped cut indirect expenses even while it kept investing in technology, servicing, fraud detection, collections, and personalization. Merchant payments, merchant subscriptions, and financial services distribution all grew strongly, supporting operating leverage and margin expansion. Management expects FY27 revenue growth to outpace FY26 and continues to target an 15-20% EBITDA margin band over the next few years.

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Paytm

$1B+