Paytm on track to become profitable next year: CEO Vijay Shekhar Sharma
Sharma said the company was on track to becoming profitable by September 2023
Financial services platform Paytm has no plans to expand internationally or make any acquisitions, the company's management told shareholders on Friday, even as it reiterated its plan to turn operationally profitable by September-end 2023.
Speaking at the company's first annual general meeting, Paytm managing director and chief executive officer Vijay Shekhar Sharma answered questions on the company's depressed stock price, when the company's shares will reach the issue price of ₹2,150, and when it will achieve profitability.
Sharma said the company was on track to becoming profitable by September 2023.
In a shareholder letter earlier this year, Sharma had said the company would aim to achieve operational profitability, which he defined as Ebitda before Esop costs.
Ebitda is short for earnings before interest, tax and amortization, and Esop stands for employee stock options.
Sharma obliquely addressed concerns over his remuneration by reiterating that his stock options that were granted in FY22 will not vest till the company hits the IPO market cap.
Sharma's remuneration of ₹796 crore, including stock options granted in FY22, was one of the resolutions put up for vote ahead of the AGM.
Proxy advisory firms have questioned the grant of Esops to Sharma since he is practically a permanent director on the board and in light of Paytm stock's abysmal performance.
Sharma is not classified as a promoter, but he is the founder of Paytm, owning close to 14% stock in the company, including through his family trust.
