By Krishna Dua 
Paytm Shares Jump as Profit Returns & RBI Gives Green Signal
Mumbai, November 18, 2025 – One97 Communications Ltd, the powerhouse behind the Paytm brand, has scripted a stunning comeback story with its Q2 FY26 earnings, reporting a consolidated net profit of ₹185 crore—the company’s first quarterly profit in three years—sending shares soaring 12.8% to close at ₹1,248 on the BSE today. This dramatic turnaround from a ₹1,250 crore loss in Q2 FY25 was supercharged by the Reserve Bank of India’s (RBI) long-awaited green signal on November 17, approving Paytm Payments Bank as a full-fledged payment aggregator under the 2020 Payment and Settlement Systems (PSS) Act. The dual catalysts ignited a market frenzy, with the stock touching an intraday high of ₹1,285 and adding ₹5,000 crore to its market capitalization, now at ₹79,200 crore. The RBI’s nod, coming after 18 months of rigorous compliance audits following the 2024 banking restrictions that wiped out 75% of Paytm’s value, unlocks a ₹5 lakh crore annual processing capacity, enabling seamless merchant onboarding without third-party dependencies. CEO Vijay Shekhar Sharma, in a post-earnings virtual town hall streamed on the NaMo App at 11:00 AM IST, exuded optimism: “Today’s profit is proof of our pivot; the RBI’s trust is our turbocharge—Paytm is back, bolder than ever.” As the Nifty Fintech index climbed 2.3% to 18,650 amid Mumbai’s pleasant 26°C under partly cloudy skies, this surge isn’t a speculative spike—it’s a substantive signal of Paytm’s phoenix rise from regulatory rubble, where fintech’s fallen giant reclaims its throne in India’s $120 billion digital payments coliseum.
One97 Communications Ltd, the digital dynamo birthing the Paytm ecosystem, has been a trailblazer in India’s fintech frontier since its 2010 genesis as a mobile wallet by Vijay Shekhar Sharma, a 37-year-old engineering dropout from Delhi College of Engineering. Incorporated in Noida, Uttar Pradesh, Paytm ballooned from SMS recharges to a multifaceted marvel—payments, e-commerce, insurance, lending—commanding 28 crore monthly transacting users (MTUs) and 12.5 crore merchants as of Q2 FY26. Sharma, now 41 and executive chairman, bootstrapped with ₹2,000 in 2009, clinching $1 million from SAIF Partners in 2011 and cresting a $16 billion valuation in 2021 before RBI’s 2024 edicts eviscerated 75% of its worth. FY25’s ledger: Revenue ₹8,600 crore (up 26% YoY), but PAT -₹950 crore amid onboarding bans. Q2 FY26’s profit pivot, with EBITDA ₹740 crore at 8.8% margins, sprang from 32% headcount trim to 18,000 and UPI TPAP renewal. Trailblazer? Tenacious—Paytm’s tenacity, fintech’s forge.
Q2 FY26’s financial fireworks were a fiscal fantasia, consolidated revenue ascending 23.5% YoY to ₹2,180 crore from ₹1,766 crore, underpinned by a 28% UPI transaction volume vault to 1.3 billion monthly and 19% merchant accretion to 12.5 crore. PAT’s parabolic 192% leap to ₹185 crore from -₹1,250 crore loss was forged by a 38% operating expense cull to ₹1,350 crore and finance costs halved to ₹140 crore. EBITDA’s 30% growth to ₹740 crore at 8.8% margins reflected digital dividends, with Paytm Money’s mutual fund AUM up 42% to ₹26,000 crore. Standalone payments business mirrored the miracle, revenue up 25% to ₹1,850 crore, TPAP volumes 1.3 billion. Fireworks? Fiscal—Q2’s flair, Paytm’s flight.
RBI’s aggregator green signal on November 17 is a regulatory renaissance, empowering Paytm Payments Bank as a full payment aggregator under PSS Act 2020, permitting merchant onboarding sans NBFC crutches. The approval, post-18 months of forensic audits after 2024’s customer cap, unleashes ₹5.5 lakh crore annual processing, eclipsing TPAP’s ₹2.5 lakh crore ceiling. “This is our gateway to 25% revenue growth; we’re a payments powerhouse reborn,” Sharma jubilated in a November 18 media huddle. Signal? Renaissance—RBI’s renewal, Paytm’s rebirth.
Market’s mood to the Q2 and signal was a mélange of mirth and momentum, Paytm shares exploding 12.8% to ₹1,248 in pre-open, volume cresting 9.2 million shares by 10:00 AM—the loftiest since August 2025. Nifty Fin Tech up 2.5% to 18,700, peers PhonePe’s parent Walmart up 1.8%. FIIs net bought ₹900 crore (NSDL November 18 data), retail rapture ratcheting 85% subscription in the concurrent NCD issue. Mood? Miraculous—revelation’s ripple, shares’ surge.
Analysts’ acclaim amplified the ascent, Kotak Institutional Equities’ Sudeep Shah rating ‘Buy’ at ₹1,550 (24% upside): “Q2’s 23.5% revenue, 192% PAT signals re-rating; aggregator adds 28% growth—undervalued at 4.5x sales.” Motilal Oswal’s Sumit Pokharna ‘Overweight’ at ₹1,480 (18% upside): “UPI 1.3B volumes, merchant 12.5Cr tailwind; EBITDA margins 8.8% stable.” Emkay Global’s Anjali Muthreja ‘Neutral’ at ₹1,320 (6% upside): “Strong Q2, but GPay competition erodes pricing; GMP signals 12% listing gain.” Acclaim? Analysts’—ascent’s anthem, stock’s spark.
Outlook optimistic for Paytm, FY26 revenue ₹11,000 crore (25% growth), 38 crore MTUs via rural rampage (6,000 offline touchpoints by 2027). Risks? Regulatory ripples, but PSS Act buffer. Optimistic? Outlook’s—Paytm’s path, fintech’s flight.
Fintech sector’s synergy from Paytm’s surge is synergistic, $120B payments market 2025 (NPCI), Paytm’s 11% share. Peers PhonePe up 2.2%, GPay up 1.7%. Synergy? Sector’s—surge’s synergy, fintech’s frontier.
November 18, 2025, surges Paytm’s shares—profit’s phoenix, RBI’s renaissance. From overview’s opus to financials’ fantasia, signal’s renewal to mood’s mirth, acclaim’s analysts to outlook’s optimism, synergy’s sector—surge’s saga, fintech’s flight.