Airtel Payments Bank reported that its quarterly revenue for Q1 FY25 has increased to Rs 610 crore, reflecting a 52% year-over-year (YoY) growth.
The bank’s net profit experienced a 41% YoY rise, reaching Rs 7.2 crore. This growth was significantly driven by an increase in Monthly Transacting Users (MTUs), which surpassed 88 million, leading to a 53% YoY surge in customer deposits, amounting to Rs 2,943 crore, as stated in the bank’s press release.
The gross merchandise value (GMV) of the bank exceeded Rs 3.4 lakh crore on an annualized basis. This achievement was largely fueled by the growing adoption of the bank’s digital savings account and other digital services.
Airtel Payments Bank attributed its industry-leading growth to the strong uptake of its flagship safe daily transaction account designed for India, along with a surge in digital payments across all its business segments. The bank is now well-positioned to leverage India’s expanding digital opportunities and enhance its margins.
This development occurs at a time when one of Airtel Payments Bank’s major competitors, Paytm Payments Bank, is striving for a comeback after its auditor raised concerns about its viability, according to reports.
Established in 2016 as a subsidiary of the telecom giant Bharti Airtel, Airtel Payments Bank was the first entity to receive a payments bank license from the Reserve Bank of India (RBI). This banking model, conceptualized by the RBI, enables banks to accept deposits but restricts them from issuing credit, with the aim of enhancing financial inclusion and providing essential banking services to underserved populations.
