Paytm Payments Bank posts a 55% jump in profits for FY20

Paytm Payments Bank Ltd (PPBL) on Tuesday said its net profit in fiscal year 2019-20 grew to Rs 29.8 crore from Rs 19.2 crore in the previous fiscal, translating into a growth of over 55 per cent. The bank said its annual revenue also showed a sharp increase and crossed Rs 2,100 crore mark in FY20 from Rs 1,668 crore in the previous fiscal.

The bank attributed the growth to "higher customer acquisition in smaller cities and towns".

"We have continued to lead digital banking in India and have constantly improved upon our own benchmark for performance. In FY20, we have registered growth across all parameters, including the number of account holders, saving account deposits, fixed deposits and transactions," PPBL MD and CEO Satish Kumar Gupta said.

The focus remains on launching innovative products and services to accelerate financial inclusion in the country, he added.

"The bank has facilitated more than 485 crore transactions worth Rs 4.6 lakh crore. Domestic money transfers have accounted for about Rs 29,000 crore, which is significant growth from last fiscal year," the bank said in a statement.

The base of current and savings account holders increased to over 58 million, helping the bank double its deposits in savings accounts to over Rs 1,000 crore compared to last year, it added.

PPBL also said it will launch cheque book facility for all account holders, and customers can order cheque books through their app.

They would need to upload their signature and supporting documents on the 'Cheque Book' section, select the variant (10 or 25 leaves) and submit their request after payment.

Once requested, the cheque book would be delivered at the KYC address within 7-10 working days. Bank customers will also be able to track the status of issued cheques on their app.

In FY20, PPBL had over 5.8 crore digital debit card holders, it said.

Paytm founder Vijay Shekhar Sharma holds 51 per cent share in PPBL, while the rest is held by One97 Communications.