Fintech giant Paytm said on Monday that it is investing in artificial intelligence to build an Artificial General Intelligence software stack.
In the annual report for FY23, the company's CEO, Vijay Shekhar Sharma, said that Paytm pioneered mobile payments in India and led mass adoption with innovations such as QR codes and Soundbox.
He said Paytm's next contribution will be a small mobile credit that has high credit quality and is fully compliant with the regulators' guidelines.
“We hope this will require sophisticated capabilities in AI and other technologies. I am very proud of our advanced AI capabilities and how we are expanding. We are building an India-wide AI system that will help various financial institutions in capturing potential risk and frauds while protecting them from new kinds of risks due to the advancement in AI,” he said.
He also said that Paytm is investing in AI with the aim of building the AI software stack.
“We believe that by building it in India, we are not only building the technological capacity of our country but also creating something that could be leveraged outside India,” Sharma added.
The company had earlier mentioned that it is gunning for cash flow positive as its next milestone. “In my opinion, in the next three years, you will see some good numbers and the results of the hard work put in by the team. Our team remains committed to serving India and building a profitable business in the long run,” said Sharma.
The company continues its sustainable growth with revenue from operations increasing by 61% YOY to Rs.7,990 crore. For FY23, EBITDA before ESOP cost stood at Rs.176 crore. Moreover, the company had already achieved the stage of operating profitability in the third quarter, much ahead of its September 2023 guidance.
The company said this performance was driven by sustained revenue growth due to platform expansion and increased monetization, better profitability in the payments business, as well as increased contribution from high-growth, high-margin businesses, such as loan distribution, and disciplined cost management and better operating leverage.
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