Paytm lost over Rs 1500 crore in FY 16

Computerized installments and business stages Paytm has reported a net loss of Rs 1,549 crore for monetary year 2015-16, as per the records documented by the Registrar of Companies (RoC). This is a four-crease increment in misfortunes from a year ago's loss of Rs 372 crore as the organization keeps on giving cashbacks and rebates as a feature of its showcasing technique.

The Noida-based One97 Communications, the parent organization of Paytm, had reported a benefit of over Rs 5 crore amid the budgetary year finished March 2014.

According to the RoC reports, Paytm organizer Vijay Shekhar Sharma drew a yearly pay of about Rs 3.1 crore in the 2015-16 monetary contrasted with Rs 2.3 crore the prior year.

Paytm, which is upheld by Chinese web based business monster Alibaba, did not say the incomes for monetary finished March 2016 and has not recorded the explanation behind its expanding misfortunes.

The organization had reported an income of Rs 336 crore in 2014-15, as against Rs 210 crore in FY 2013-14.

In its recording, the organization expresses that it arrangements to wind up distinctly operationally beneficial by monetary year 2019, as per a valuation paper charged by Paytm and arranged by Deloitte Haskins and Sells, the Times of India reported.

Paytm is one of the greatest spenders on promoting and publicizing in the advanced installments space and has pushed it additionally taking after the demonetisation of Rs 500 and Rs 1000. The organization has reported many-overlay climb in its business after Prime Minister Narendra Modi declared the choice to scrap high esteem coin notes on November 8.

A report by Deloitte, esteemed the organization's share cost at Rs 3,525. This valuation report dated September 2, 2016 was set up on a demand from Paytm's holding organization One97 Communications Limited. The Deloitte report landed at the share esteem by utilizing the reduced income procedure. Under this technique, the net benefit after assessments of Paytm are appeared to begin rising exceptionally after 2018. The report evaluated that in 2017, Paytm would post lost Rs 913 crore.

Lat week, it was accounted for that Vijay Shekhar Sharma has sold one for each penny of his shares in One97 Communications to its shareholders for about Rs 325 crore. The sum raised will be used for Paytm's proposed installments bank operations, in which Sharma holds 51 percent stake.

Toward the end of March this year, Sharma held more than 21 for each penny stake in One97 Communications. The most recent deal would cut down his holding to more than 20 percent.

A year ago, the Reserve Bank of India had granted 'on a basic level' endorsement to Sharma, the originator of One97 Communications, to set up an installments bank. Sharma has gotten on a basic level endorsement from the Reserve Bank of India to begin the installments bank yet the last endorsement is anticipated. As indicated by RBI rules, Sharma needs to hold a 51% stake in the installments bank for which he has made another element - Paytm Payments Bank. The trade commercial center has been housed under another new substance called Paytm E-business Private.

Alibaba Group and its partner Ant Financial hold more than 40 percent in One97 Communications. They had pumped in USD 680 million a year ago into the parent organization of Paytm. Be that as it may, the Chinese substance won't have an immediate shareholding in the installments bank.

Paytm is headed to finish two billion exchanges this year outperforming its own desires. It intends to wind up distinctly all inclusive installments application over each financial balance.

The organization additionally said it tries to enter the US showcase over the long haul as it sees an open door there.

Paytm has 11,000 workers now, of which 1,500 were included only the previous one month, after Prime Minister Narendra Modi declared the withdrawal of Rs 500 and Rs 1,000 notes. The organization , which has 88 million dynamic clients as per application information tracker AppAnnie, has seen versatile wallet selection increment forcefully in this period.