Paytm’s parent company ‘One 97 Communications Limited’ is laying off its employees. However, the company has not given information about how many employees it is laying off. According to media reports, the number of Paytm sales employees decreased by about 3,500 to 36,521 on a quarterly basis in the March 2024 quarter. The main reason for this was the ban on the service of Paytm Payments Bank by the Reserve Bank of India (RBI). Company providing outplacement support According to news agency PTI, the company issued a statement on Monday saying, ‘One97 Communications Limited is providing outplacement support to those employees who have resigned as part of the company’s restructuring process.’ In outplacement support, the company helps the fired employees to get another job. Deposits in Paytm Payments Bank stopped after March 15 On January 31, RBI imposed major business restrictions on Paytm Payments Bank, citing non-compliance of the rules for a long time. Then RBI issued a circular saying that money cannot be deposited in Paytm Payments Bank accounts after February 29. Money cannot be deposited in wallets, prepaid services, fastag and other services through this bank. However, later RBI extended this deadline to March 15. Deposits in Paytm Payments Bank have stopped after March 15. RBI had found major irregularities in Paytm’s KYC, due to which customers were at serious risk. Paytm had not done KYC of lakhs of customers. PAN validation of lakhs of accounts was not done. Single PAN was being used for multiple customers. On many occasions, RBI was also given wrong information by the bank. RBI also found a large number of inactive accounts. Paytm’s stock gave a negative return of more than 51% in one year Paytm’s stock is seeing a rise today. The company’s stock was trading at Rs 395.15 with a gain of 3.63% at 1 pm. Paytm’s stock has seen a gain of 10.52% in the last 5 days and 12.97% in the last 1 month. However, Paytm’s stock has given a negative return of 39.85% in the last 6 months and 51.36% in 1 year. Paytm’s fourth-quarter loss increased by 228% Paytm’s parent company One 97 Communications has suffered a loss of Rs 550 crore on an annual basis in the fourth quarter of FY 2023-24. The loss in the same quarter of the previous financial year i.e. 2022-23 was Rs 167.5 crore. That is, the company’s loss has increased by 228%. The company’s revenue i.e. income has also declined. In the January-March quarter, Paytm’s revenue from operations stood at Rs 2,267 crore. In the same quarter last year, the revenue was Rs 2,334 crore. That is, the company’s revenue fell by 3% on an annual basis in the fourth quarter. The company gave this information while releasing the results on May 21. The company’s loss reduced by 19% in the financial year 2023-24 Talking about the entire financial year 2023-24, the company’s loss has reduced as compared to 2022-2023. In 2023-24, Paytm recorded a loss of Rs 1,422.4 crore. In 2022-2023, it was Rs 1,776.5 crore. That is, the loss has reduced by 19%. At the same time, the company’s revenue has increased in the entire financial year 2023-24. In 2023-24, Paytm recorded a revenue of Rs 9,977.8 crore from operations. In 2022-2023, it was Rs 7,990.3 crore. That is, there has been an increase of 24.9% in revenue. Paytm was started in 2009 Paytm’s parent company One97 Communications launched the Paytm payment app in August 2009. Currently, Paytm has more than 30 crore users in the country. Paytm’s market cap is Rs 22.39 thousand crore.
