Financial services firm Paytm said the gross merchandise value (GMV) of merchants processed through its platform rose 40% year-on-year to Rs 3.62 lakh crore ($44 billion) in the quarter that ended March 31, 2023. Shares of Paytm rose 1.18% as the market opened for trading.

“Over the past several quarters, our focus has remained on payment volume that is profitable for us either through net payment margin or direct upsell potential,” the company said in a regulatory filing.

In its latest business performance, the company also said it had achieved a new milestone in offline payments, with 6.8 million devices deployed. Paytm Super App has the highest consumer engagement, with an average of 90 million monthly transacting users.

It said that Paytm’s subscription devices, Soundbox and point-of-sale (PoS) machines continued to drive additional payment monetisation and were increasingly accepted by merchants. There are 6.8 million merchants subscribed to Paytm’s payment devices, an increase of 1 million in the quarter that ended March 2023.

“Through our subscription-as-a-service model, broad device adoption drives subscription revenue and higher payment volumes while increasing our pipeline for commercial loan distribution,” the company said in a stock exchange filing.

The company said the Paytm Super App continues to drive higher user engagement with the company’s integrated payment services. It added that the average monthly transacting users (MTU) for the quarter was 90 million, up 27% year-on-year. Paytm said it has also witnessed continued growth in merchant payment volumes.

Paytm’s loan distribution business with financial institutions also saw growth, with total disbursements paid through its platform rising 253% year-on-year to 1,255.4 billion rupees ($1.528 billion) in the quarter.

Total loans disbursed in the quarter rose 82% YoY to 11.9 million, of which 4.1 million loans were disbursed through the Paytm platform in March 2023 (63% YoY growth).

“Our paying consumer and merchant base presents a large addressable market, providing a long-term growth runway. We will continue to work with our partners and remain focused on the book’s quality,” the company said.