Fintech player Paytm's Q1 FY26 profit attributed to tight cost cuts

Paytm posted a net profit of Rs 122.5 crore in Q1FY26, driven by sharp cost controls, after a steep loss in the corresponding quarter of FY25

The first quarter of 2025-26 (Q1FY26) turned profitable for One97 Communications, parent of fintech player Paytm, after a steep loss of ₹838.9 crore in Q1FY25. The net profit of ₹122.5 crore in Q1FY26 was largely driven by sharp cost controls. The fintech firm had posted a net loss of ₹539.8 crore in Q4FY25.

 

Paytm’s indirect expenses, excluding ESOP (Employee Stock Ownership Plan) costs, were down 19 per cent year-on-year (Y-o-Y) to ₹1,049 crore in Q1FY26 from ₹1,301 crore in Q1FY25.

 

Most notably, the company slashed its marketing expenditure by 65 per cent to ₹62 crore in Q1FY26 from ₹177 crore