Paytm, an Indian fintech company, outperformed analysts’ estimates and reported lower losses in the most recent quarter.
Bloomberg reported Friday (Jan. 19) that the company’s net loss for the three months ended December was 2.2 billion rupees (roughly $26.5 million). Analysts projected a loss of 2.55 billion rupees (approx. $31 million).
Paytm’s revenues grew 38% over the same period, hitting 28.5 billion rupees (about $343 million), according to a Friday earnings statement.
Paytm achieved these outcomes by focusing on cost reduction and expanding its services to small merchants, according to Bloomberg.
“Our focus on AI-led efficiency is set to further drive operating leverage,” according to the report. “In the current quarter, our indirect expenses (as a percentage of revenues) decreased to 46% from 49% in the same period last year.”
According to Bloomberg, the company has also been actively using AI to ease product development, lowering cycle time from weeks to days.
“We are accelerating the adoption of AI because it allows us to deploy more features at a faster rate within core technology and product functions,” the company noted in its earnings release.
“So far, AI has delivered more than what we had expected, and we expect our AI-first approach will allow us to drive operating leverage across various functions, including business and operations.”
