RATING

RECOMMENDATION

Sell

  • ROFR Required
  • Available in Depository:

  • NSDL

  • CDSL

  • Available for Investment:

  • Primary

  • Secondary

RATING

RECOMMENDATION

Sell

Business Type

Emerging Leader

RATING

RECOMMENDATION

Sell

Business Type

Emerging Leader

  • PayMate Growth

PayMate Revenue Growth

Growth in %

  • 60.57%

    1 Year

  • 84.52%

    3 Year

  • 78.11%

    5 Year

The firm derives a significant portion of its total income from transaction fees paid by clients who use commercial credit cards on the platform to make payments. These transaction fees are depending on the amount of money traded on the site. Customers contributed $3.48 billion and $8.43 billion, or 99.82% and 99.97% of total revenue, respectively, for FY21 and the nine months that ended December 31, 2021.


The total Total purchase volumn(TPV) of the company has increased from 210.31 billion in FY19 to 221.42 billion in FY21 and further to 484.01 billion in the nine months ended December 31, 2021, while card-processing TPV has increased from 117.41 billion in FY19 to 187.14 billion in FY21 and further to 464.77 billion in the nine months ended December 31, 2021.



PayMate Net Profit Growth(PAT)

Growth in %

  • NA

    1 Year

  • NA

    3 Year

  • NA

    5 Year

The firm has been losing money for many years, with a loss of roughly Rs. 28Crs in FY21. Even in the first nine quarters of FY22, revenue increased, but expenses increased as well, resulting in losses. But on December 31, 2021, the firm had 49,953 Customers, with 480 being Enterprise Customers and 49,473 being small and medium enterprises who subscribed to the basic plan ("SME Customers"). Instead of an increase in customers, the company is not able to generate good profits. Moreover, the employee benefit expenses have increased multiple-folds.

In terms of TPV processed in the nine months ended December 31, 2021 (464.77 billion processed between April and December 2021) using a commercial credit card, the company was the largest B2B payments player and one of the fastest growing providers of on-line, card-based payment-processing services in India.

PayMate EPS Growth

Growth in %

  • NA

    1 Year

  • NA

    3 Year

  • NA

    5 Year

EPS of the company is negative due to losses it faced. On 18 Dec. 2021, has split the Rs.10 equity share into 10 shares of Re. 1 each. Accordingly, the EPS has been adjusted for the subdivision of shares for the current and previous years presented in accordance with the requirements of the Indian Accounting Standard.

  • PayMate Book Value Growth

Growth in %

  • 67.59%

    1 Year

  • NA

    2 Year

The company's book value is steadily increasing as a result of an increase in preference shares as a result of a private placement of shares worth and a reduction in losses, which has resulted in an improvement in reserves and surplus, all of which has resulted in an increase in the company's equity. 

PayMate EBITDA Growth

Growth in %

  • NA

    1 Year

  • NA

    3 Year

  • NA

    5 Year

PayMate Operating Profit Growth

Growth in %

  • NA

    1 Year

  • NA

    3 Year

  • NA

    5 Year

PayMate Asset Growth

Growth in %

  • -42.42%

    1 Year

  • 20.56%

    3 Year

  • 13.31%

    5 Year

The company's total assets decreased significantly in FY21 due to a decrease in cash and cash equivalents, including security deposits and short-term bank deposits. While we can see a sudden hike in assets in FY20, due to fixed deposits with banks, and security deposits held.

PayMate Cash Flow from Operations

Growth in %

  • NA

    1 Year

  • NA

    3 Year

  • NA

    5 Year

Cash flow from operations has improved from previous years due to Share Based payments to employees, but it is still negative, and as per source, it will be negative in FY22 as well.

  • PayMate Solvency Ratios

PayMate D/E Ratio

The company doesn't have debt, but they have some lease payments, which majorly include lease contracts entered by the company pertaining for buildings taken on lease to conduct its business in the ordinary course.

PayMate Current Ratio

Current assets of the company is quite higher than its current liability due to deposits held by the company which led to, high current ratio. 

PayMate Quick Ratio

PayMate Interest Coverage Ratio

  • PayMate Operating Efficiency

  • The company is not able to generate profits, and its operating efficiency is continuously deteriorating, but it is continuously improving its services and increasing its client base, which shows positive outlook of the company. They are constantly doing strategic partnership, as a result of its relationship with Visa, TPV processed through Visa cards are ₹184,498.23 million in FY21.
  • When the company deposits cash as interest and lien-free collateral in a nodal/escrow account with its payment gateway partners, they are able to leverage such collateral and, as a result, decrease the Acquiring Rate they charge, which enhances the company's gross margin.
  • To leverage on this opportunity, the business intends to post $6,887 million of the Net Proceeds as collateral with some or all of our payment gateway partners. The deposit of a portion of the Net Proceeds with the payment gateway partners reduces the Acquiring Rate, resulting in an improvement in the company's gross margins.

PayMate Operating Profit EBIT Margin(OPM)

PayMate Profit Before Tax Margin (PBT Margin)

PayMate Profit After Tax Margin (PAT Margin)

  • PayMate Profitablity Ratio

The company is not able to generate profits, and is constantly providing negative returns to its shareholders but as company is in growing stage, they are focusing more on building their customer base, and expanding their services.

PayMate Return on Equity(RoE)

PayMate Return on Capital Employed(RoCE)

PayMate Return to Assets (RoA)

  • PayMate Valuation Ratios

PayMate Earning Yield