IPO-bound Paytm narrows losses to Rs 1,701 cr, reduces expenses in FY21

Revenue from operations fell 14.5 per cent to Rs 2,802.41 crore during the year, according to the Ant Financial-backed company's annual report

As it readies for its initial public offering (IPO) later this year, digital payments firm Paytm is honing its strengths to remodel itself from being a payment wallet to becoming a financial services provider, and is working towards narrowing its losses, evident from its most recent Annual Report.

Unlike many of its peers, Paytm has started expanding its merchant payment ecosystem. It has realised that though it can take the maximum share of the Unified Payment Interface (UPI) transactions, from a revenue generation point of view it will not have any impact.

According to Gautam Chuglani and Manas Agarwal of Bernstein, Paytm’s