Paytm Shares Down 4% Ahead of Q4 Results — Here's What Brokerages Expect

Shares of One97 Communications Ltd., the parent company of Paytm went down by 4% today, May 6. The stock turned out to be among the top losers on the Nifty 500 index.

Paytm will announce its Q4 results today as some brokerages are expecting the company to declare profits, while a handful among them are projecting a loss.

Brokerages, including JM Financial and Yes Securities, expect the fintech firm to report a net profit in the range of ₹3.6–₹4.5 crore. However, Motilal Oswal estimates a net loss of ₹112 crore in the March quarter.

JM Financial estimates Paytm’s Q4 revenue at ₹1,975 crore, down 13% YoY, but a growth of 8% QoQ.

EBITDA is expected to be negative at ₹65 crore, which interestingly denotes a 71% improvement in both YoY and QoQ terms. The EBITDA margin is set to improve by 660 basis points YoY and 889 bps QoQ, but would remain negative at 3.3%.

As of 2:23 pm, Paytm shares are trading at ₹823.25, down 4.94%.