Fintech company Paytm announced impressive figures for loan disbursals and gross merchandise value (GMV) in May. The company disbursed nearly 44 lakh loans during the month, marking a significant jump of over 51 percent compared to the same period last year and a seven percent increase compared to April.

The disbursed amount for May reached Rs 5,503 crore, showcasing remarkable growth of 186.8 percent from May 2022. In April, Paytm disbursed loans worth Rs 4,115 crore. Furthermore, the average disbursal ticket size has risen to Rs 12,507.

Regarding the loan distribution business, Paytm said that a technology systems upgrade by one of their merchant loan distribution partners had previously impacted loan upselling to existing merchants. However, the system upgrade has been completed, and the partner has resumed disbursing merchant loans, meeting pent-up demand from April.

Paytm's gross merchandise value (GMV) for May stood at Rs 138,000 crore, reflecting a year-on-year growth of 36.6 percent and a month-on-month increase of 8.66 percent. Over the two-month period of April and May, Paytm's GMV reached Rs 265,000 crore, displaying a year-on-year growth of 35.2 percent and a quarter-on-quarter increase of 13.25 percent.

The company witnessed a substantial rise in disbursals, reaching Rs 9,618 crore over the two-month period, marking a year-on-year growth of 169 percent and a quarter-on-quarter increase of 19 percent. The number of loans soared to 85 lakh, a 54.55 percent rise compared to the previous year.

Paytm also highlighted its success in offline payments, with 75 lakh merchants now subscribing to payment devices, representing a growth of 4 lakh merchants in May 2023.

Following the business update, Paytm shares experienced a slight decline, trading nearly one percent lower. However, the stock has shown a three percent increase over the past month. Year-to-date, Paytm's stock has provided investors with a return of 33 percent, outperforming the benchmark Sensex, which has risen 2.75 percent during the same period.

Track latest stock market updates on CNBCTV18.com's blog