Why Paytm's stock is slipping despite the company turning profit
Paytm's stock slipped by 2% on Tuesday morning, despite the company finally turning a quarterly profit.
While the share price declined, investors may be reacting to mixed signals from Paytm's latest results and corporate moves.
Paytm's journey to profitability
For anyone watching Indian fintech, Paytm's journey is a big deal.
The company reported ₹1,917 crore in revenue for April-June 2025 (up from ₹1,501 crore last year) and posted its first quarterly net profit of ₹122 crore—quite a turnaround from an ₹839 crore loss last year.
But on the flip side, annual revenue actually dropped compared to last year and yearly losses are still significant (₹666 crore).
Bumps on the road to recovery
Even with that quarterly win, Paytm is facing some bumps: standalone sales and losses have actually improved compared to last year.
Plus, just days ago they handed out nearly 1.85 lakh shares under their employee stock option plan—moves like these can make investors nervous if overall growth isn't steady.
That mix of good news and ongoing challenges may be weighing on the stock right now.