Mumbai, Jan 23 (IANS) Paytm on Friday clarified to the Indian bourses that any impact from the conclusion of the RBI’s Payment Infrastructure Development Fund (PIDF) scheme is expected to be offset over time through revenue growth and more targeted sales efforts.

In a filing to stock exchanges, One 97 Communications Ltd, the parent company of Paytm, said it currently recognises incentive income under the PIDF scheme, linked to expenditure on payment acceptance devices such as Soundboxes and EDC machines.

The company added that if the scheme is not extended beyond its current term, it expects to ‘significantly offset the impact over time through a combination of higher revenues and more targeted sales efforts’.

The PIDF scheme, valid until December 31, 2025, was aimed at accelerating digital payments infrastructure in Tier-3 to Tier-6 centres and underserved regions, including the Northeast and the Union Territories of Jammu, Kashmir and Ladakh.

For the six months ended September 30, 2025, Paytm recognised Rs 128 crore in incentive revenues under the scheme.

The clarification comes as Paytm continues to report steady improvement in financial performance, supported by cost discipline, operating leverage, and quarter-on-quarter profitability.

Brokerage Investec Equities on Friday also commended Paytm’s leadership in merchant acquisition, highlighting strong presence in offline payments. With over 50 per cent share in Soundboxes and about 10 per cent share in physical POS, and its 15–20 per cent share in online payment gateways position, the Noida-based payments major is well positioned to benefit and expand net payment margins.

The brokerage also noted that Paytm’s technology capabilities and deep merchant relationships support long-term pricing power and create high switching costs.

With the disclosure, Paytm sought to reassure investors that it remains confident about its sustained growth.

–IANS

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