Connect with us


The payments business is the one that remains profitable, claims Paytm CFO Deora.



According to Chief Financial Officer Madhur Deora, payment services to merchants and consumers brought Paytm more than $1000 crore in revenue during the 3rd quarter of this year’s financial year. “Nobody does Rs 1,000 crore revenue in India fintech today,” Deora stated.

One97 Communications Ltd, the parent company of Paytm and Paytm Mobile, has endured an extremely rough ride in the market, with its stock dropping more than 40% since it went public its store on exchanges back in November. The root of the market tensions is that the potential for Paytm’s revenue growth didn’t justify the high price its stock earned. This was noted by analysts from Macquarie Capital when they slashed its target price in a January note. Macquarie has also reduced the price it is targeting Paytm by 700 rupees due to the costs associated with employee stock option (ESOP).

Changes to regulations and the fierce competition in the payments industry from multinational companies could create revenue challenges, as per analysts. The payment provider’s quarterly net loss and robust revenue growth increased during December.

Interview of Aparna Iyer, the group’s Chief Financial Officer Madhur Deora, claimed that payments are the highest-profiting segment for Paytm and that the company will prove this over time. The following excerpts have been edited:

Can it be true that the capacity to generate revenue for the payment space is declining?

The opposite is true. Our merchant payment services have grown 117 percent from year to year. The number of consumers who used our services for payment increased 60% year on year. I’m sure that the last three-quarters of investors were skeptical about this since we didn’t have any figures to support it. The pandemic also occurred in the two years before that. It was hard to quantify the typical growth in payments. We’re seeing that the sum of the two categories (payment services to merchants and consumer services) will be more than Rs. 1,000 crore in revenue for the third quarter of this year. No one makes more than more than Rs 1,000 crore in India today.

Do you think that different payment options will prosper side-by-side and not compete?

It’s as simple as looking at information. Credit cards, debit cards, credit cards, and UPI (unified pay interface) are all doing well. The data already tells us that card, wallet, and UPI — three are increasing. Merchants are looking to accept the payment tools that consumers want to utilize. While I can’t guarantee that every payment method will stay, some could be replaced with an upgraded version. For instance, will IMPS (Immediate Payment Service) be replaced with UPI shortly? Perhaps. In general, can the development of one instrument increase to another? Nearly in all instances, it is not the case.

How can you contact UPI?

UPI is an excellent way to acquire new customers and new merchants. It’s great for merchants as well since transactions are free. When customers become accustomed to electronic payments, their requirements will also increase as time passes. Customers are looking for convenience and higher-quality products. People may seek credit-bearing products. Customers are moving towards more and more payments instruments. There’s no market anywhere globally, and India isn’t an exception that customers are limited to one payment method. Customers make use of different payment methods to meet their requirements. Non-UPI GMV (gross product value) was up 77 percent over the year, directly translating into increased revenue. The UPI portion of GMV is growing at a faster rate. However, this isn’t necessarily an issue. UPI increasing its growth rate means two things. One is that I am receiving new customers at an affordable acquisition cost. If the customer uses UPI or any other method to generate behaviors on my platform, we can offer the customer credit items. I’d say that a person who uses UPI via Paytm can be more likely to accept credit products from Paytm rather than the credit card user. The most important thing is to bring the customer in as inexpensively and make an environment that encourages the customer to use the service.

The revenue is substantial. There’s certainly. Where is the loss for the quarter going to come from?

The losses have increased due to an accounting cost we will have to pay after our IPO. This is a non-cash expense, and nobody is spending any money. In addition to this cost (ESOPs), the growth of the EBITDA (earnings before tax depreciation, interest, and amortization) is impressive. We will eventually be EBITDA-positive. We are highly focused on this. There are tremendous opportunities, and as we expand, we see more of them. The digital ecosystem is not fully embraced at the moment. We’re determined to compete for the top prize of a massive internet-based ecosystem in the nation.

On the other hand, we are looking to become highly efficient and increase revenue. We’ll be balancing both. However, we must also keep on investing. If someone says you should put it off for two years from now but bring losses down to zero, I could accomplish that in just two quarters. But that’s not the goal. The goal is to create an enterprise that can boast thousands of customers and merchants that have various products available through your platform.

What do you have to say about this deal? Raheja QBE agreement?

We are in constant dialogue regarding the regulation. The regulatory authority has no formal, informal official, or informal indication that this deal has not been approved. This process takes time, and we’re in constant discussion.

Do you have a view on your expenditures?

Processing charges for payments are the most significant cost item. The contribution margin of our company has increased from 9 to 31. Our indirect expenses increased by 52 percent. We aren’t stopping investment in any field. When it comes to the things that matter, we are investing. This is the very nature of the platform. When revenues rise, costs increase, but in a smaller percentage. Marketing expenses don’t make up the largest share of the total cost. We’re not investing too much. I am aware of a story that says that you cut down on your marketing expenses; however, that’s not the case.

The growth is solid, but Paytm does not get more value for its money. There’s not much to report in terms of how much they take in. …?

I’ve never discussed taking rate. The people calculate this number and then expect us to achieve the required number. This is not the best method of looking at the business since it implies that certain GMVs with lower take rates or no-take rates should be avoided. So long as you can achieve a profit from any GMV and make this GMV with no margin, it is advisable to choose the GMV. We don’t have to can negotiate a price to lower prices. The growth of GMV efficiently will lead to an increase in your platform’s revenue and numerous opportunities to monetize. Simply because your platform is currently at a specific take rate, it doesn’t mean that you should not take advantage of GMV that is less than the current take rate. We are looking to provide different kinds of services to our customers. We’ll earn money from payments and make more money from commerce, finance, and cloud services. The combination of these creates a robust platform. The total take rate could rise. In the future, as more is more of these services come in, The sum of all the earnings will have a positive effect on the take rate overall.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published.


Tips for hiring the best painting companies



Preparing to refinish your house is a tough task especially when you are not aware of where to begin, what to do first and how to take formidable steps in the right direction. But all painting companies in Charlotte NC are not eligible for the painting job that you might be looking for. Therefore, making the decision to hire the best kitchen cabinet painters in town could be an interesting choice to make only if you choose the right path.

Here are some of the tips to help you find the best cabinet refinishing near me and that too at an affordable cost.

Take quotes from different painters:

Have you recently visited a friend or family member who has recently gone over the painting job and you have loved the idea? These are considered to be a great resource when you have somebody to take reference from and you could ask them about the best professional kitchen cabinet painters near me. They could guide you about their experience and also highlight about dos and don’ts of the business.

Helping you to choose technically correct and professionally sound people for the kitchen cabinet job.  Ask different kitchen cabinet painters about their availability and the cost of the services this helps you to learn about the average cost of painting cabinets and also make the decision of selection based on the budget that you have.

Moreover, it is also important to note that never ever go for the cheapest possible painters in town because then you will have to compromise on the cost of the services. And that will not be the feasible choice to make for your painting task.

  1. Verify:

Your task becomes a challenging one when you choose to research the painting contractors. You need to make sure that the kitchen cabinet painter or searching for Charlotte refinishing service that you are hiring is a licensed, experienced, and skilled professional. Not all the states around your country require the painting contractor to obtain a license for the painting task and therefore, you need to get them verified.

Not knowing the painting contractors’ background could be dangerous because then they may be hiring people across the road and sending them for your painting job. Risking the security and welfare of your house. Make sure to know them before you choose to hire them and verifying could be difficult initially but then you know who you are choosing to work with and what makes them apart from the usual painting contractors in town.

  1. Checking the reviews of the customers:

When you are choosing kitchen cabinet painters online it is essential to read up on the reviews of the customers. This allows you to learn about the right person for the right job because customer reviews guide you about who to choose and whom to refrain from.

Helping you to establish a deed of trust in the kitchen cabinet painter before you choose to hire them for the painting assignment. Make sure to know about any hidden charges or additional fees if you have any specific tasks stored for them. It helps you to learn about how much you have to pay and what is your border line when you think about investing in the cabinet painting task.

  1. Asking the right questions:

For anybody who is looking forward to hiring a painting contractor, they should learn about the right questions to ask the painting contractor. If you think that you might miss out on some of the most important information that you are looking to gather from them. Then taking notes and writing them down on a piece of paper might also help.

Thus, helping you to find the right communication as to what you are expecting them to do and what the painting contractor has in mind when you are willing to hire them.

Things like what kind of paint are you going to use, will you be able to complete the task at the right time. Who will be the person in charge of the painting job once your team begin with the job and most importantly are you going to clean up after you have finished the painting job?

  1. Have a written contract:

Whenever you are willing to hire someone for the job whether it is a trivial task of painting your kitchen cabinets make sure to hire them through a carefully drafted contract. Where all the terms and conditions are mentioned accordingly. You know what to expect from the painting contractor once they finish their job and how much time it will take to completion of the task.

Thus, enabling you to go for the best painting contractor in the business within the set limited budget that you have in mind.

Continue Reading


Why hardwood flooring is a good choice



When it comes to refinishing your homes with the right wood flooring there is a number of options that are available in the market. From hardwood flooring to the engineered floor everything has pros and cons, and therefore, when you begin to opt for the ones that are the best in the business make sure to know why go for the hardwood and why not otherwise.

Wood floors in Rio Vista are becoming popular day by day and because of their aesthetic and durability, there are other reasons as well which make them the popular choice. If you are among those people who are willing to add wood flooring to their homes make sure to do it for the right reasons. Here are some of the reasons why should pick hardwood flooring for your homes and what makes them distinct from the other.

  1. It is suited for almost all kinds of areas:

Whether you are picking up the hardwood floor for your kitchen area or the lounge it goes along well with every kind of setup and gels along well with the rest of the interiors of the house. It helps you to make your living room more and more spacious and could be installed in places where you require a more durable floor than the engineered ones. Moreover, when it comes to areas like bathrooms and other vulnerable spaces where you need water-resistant floors you need to go for the engineered floors. Therefore, if you are picking a single kind of floor for your home then the recommendations from the experts go for the hardwood floor.

  1. They are durable and easy to install:

When we told you that hardwood floors are a popular choice in Rio vista nobody thought that it is due to their easy installation and long-lasting nature. People are eagerly looking for floors that are easier to install and easier on their pocket as well. But it is important to note that when you are looking to get a hardwood floor make sure to get the help of an expert. Because you want to increase the beauty of the floor down there and that could only be achieved with the help of the professionals.

Moreover, with the help of the experts, there aren’t any chances of the loopholes in the installation of hardwood therefore you need to make sure that you are getting it done with the help of experts to be able to enjoy the benefits of hardwood flooring.

  1. Easy to maintain:

Unlike any other options of flooring that we have in the market, the hardwood floors are the best in the business and there are multiple reasons for that. Because they are less susceptible to damage and in areas that experience heavy foot traffic the hardwood is resistant to any damage. Therefore, when you are trying to make sure that you get your hands on the right flooring try not to forget about the hardwood flooring.

Moreover, when it comes to cleaning and mopping the hardwood flooring they are easier to clean. You are advised to clean the flooring with gentle cleaners that don’t contain too many harmful chemicals. Applying a damp soft cloth to the wood flooring also enhances the shine of the wooden floor.

To conclude, as compared to the other engineered floors that are available in the market wood flooring is more suited than the others. They are easier to install, durable, and shine like new for a long when they are maintained in the right manner.

Continue Reading


Door Screen Repair: How To Repair Torn Screen



Door screens have become an essential element in homes, especially during summer. The screens are ideal because they prevent the entry of insects and guarantee your comfort unless they break. For this reason, we will share about door screen repair to continue enjoying all its advantages throughout the year.

How to start with door screen repair: step by step

Fixing the door screen is very simple, although you must consider the size of the hole and, if it is too large, it is best to get new netting.

Fixing a door screen

Inclement weather, the passage of time, or tears, such as if you have animals at home, cause these door screens to break and lose their effectiveness. Currently, there are more durable cat nets, although they can also be damaged. That’s why here’s how to fix them quickly.


Here we show you what materials you need to repair the door screen:

It should be a little bigger than the hole you want to cover.

One or more threads of the same fabric: you can use a fishing line if you don’t have any.

Pair of scissors

Steps to follow:

Do you already have all the materials? Here we show you how to repair a door screen step by step:

  • Disassemble: the first thing you have to do is remove it from the place where it is and place it in a space that allows you to work with it.
  • Cut a piece of fabric:it must be a little bigger than the space you want to fix. When you have it, you have to fold the edges slightly.
  • Put the piece of screen over the hole: adjust it and use the thread to join it, as if you were sewing a patch on a pair of pants; if you use a fishing line, you should choose a thick one so that you can do this job with your fingers. In any case, the hole must be well covered.
  • Fix the thread: tie a tight knot at one end and pass it through both sides to ensure that it is well secured.
  • Use adhesives for small holes

Is the hole in your broken door screen too small? Here we leave you how you can continue enjoying all its advantages, avoiding the entry of insects, using adhesives.

  • Use clear nail polish:when dry, this product acts as a strong adhesive and is highly recommended for tears that are not very open; If the fabric is a dark color, such as black or gray, it is ideal that you use an enamel of that hue.
  • Apply the polish: cover the opening at both ends with the polish without dripping; If you think that drops may fall, it is best to place a piece of paper or cloth underneath.
  • Wait:even if you think it will be dry in a few minutes, it is most likely not completely dry until a day has passed. If you don’t have time, it is best to use a hairdryer, on cold, for a minute, about 15 cm.
  • Cut out the damaged area in the shape of a square or rectangle:use a ruler or a sharp knife; make a small hole so that you can handle it easily. Leave 1-3 cm of the surface between the hole and the door frame.
  • Cut a piece of screen to cover the damaged area: it has to be a little bigger, at least 3 cm more. Hold the screen at a 90-degree angle. Insert the ends and flatten the patch wires.
  • Perfect finish: To ensure a flawless finish, it is best to use a microfiber cloth to wipe off any remaining glue drops.

This is the fastest and easiest way to door screen repair to fix your door screen.

Continue Reading