Paytm Share Price Falls Over 8% on June 12, Among Top Nifty Midcap Losers

On June 12, 2025, shares of One 97 Communications Limited (Paytm) witnessed a sharp decline, placing the fintech company among the top losers in the NIFTY MIDCAP 150 index.

Paytm Share Price Performance

On June 12, 2025, Paytm share price opened at ₹913.05, down from its previous close of ₹960.45. At 9:40 AM, the share price of Paytm was trading at ₹880.80, down by 8.29% on the NSE. The share price touched its day’s low so far at ₹864.40. The market cap of the company stood at ₹56,186.99 crore.

MDR Clarification

The sudden drop came amid speculative reports about the possible reintroduction of merchant discount rate (MDR) fees on digital transactions, including those via UPI.

However, the Finance Ministry quickly clarified that these claims were unfounded. The ministry stated via a post on X (formerly Twitter) that "speculation and claims that the MDR will be charged on UPI transactions are completely false, baseless, and misleading."

It further reassured that the government remains fully committed to promoting digital payments.

Paytm’s Q4 FY25 Results Show Steady Improvement

Paytm reported its Q4 FY2025 results in May with a revenue of ₹1,911 crore, reflecting a 5% quarter-on-quarter (QoQ) growth. The company posted a contribution profit of ₹1,071 crore with a contribution margin of 56%, showing a 12% QoQ improvement. EBITDA before employee stock ownership plan (ESOP) costs stood at ₹81 crore, representing a ₹121 crore improvement from the previous quarter.

In terms of profitability, the company reported a net loss (PAT) of ₹23 crore, which was a significant ₹185 crore improvement from the prior quarter. Total EBITDA, after factoring in ESOP expenses, came in at ₹(88) crore, still reflecting a ₹135 crore QoQ improvement. Additionally, Paytm received ₹70 crore as UPI acquiring incentive and maintained a healthy cash balance of ₹12,809 crore.

Also Read: Is PhonePe a Unicorn? How It Became India’s Leading Fintech Powerhouse!

Conclusion

Despite improving financial performance, Paytm's stock price declined sharply amidst market rumours surrounding MDR charges.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.