One97 Communications, parent of digital payments platform Paytm, reported a net loss of Rs 4,217.20 crore for the financial year ended March 31, compared to a net loss of Rs 1,604.34 crore last year, according to the company’s annual report. Losses in the FY19 widened due to higher expenses on brand building and business expansions, the firm said.

Paytm’s total revenue rose 8.2 percent to Rs 3,579.67 crore in the year, while expenses surged 59 percent to Rs 7,730.14 crore for the twelve-month period ended March 31.

Paytm said that it has processed over 1.2 billion merchant payments in this fiscal's first quarter, apart from P2P and money transfer transactions, enabling it to maintain its leading position in offline payments.

Accepted at 14 million retail outlets, Paytm currently has 70 percent share in the sector. It had announced that this year it will shift its focus from peer-to-peer (P2P) transactions to increase the usage of digital payments at kirana stores, restaurants, commutes and other such daily spends.

Paytm said that it has also launched a major drive to make users aware of how to scan any QR code at outlets through their Paytm app for instant payments, and this augments the merchants' efforts for this purpose.

Stressing on Paytm's flexibility in the mode of digital payment, the company's senior Vice President Deepak Abbot said: "Our latest innovation has enabled more such users to scan any QR code using the Paytm app for instant payments. This has resulted in an increase in the overall transactions for merchant payments and further acceptance in smaller cities/towns."

One97, which operates Paytm, has taken in $2.3 billion (Rs 16,500 crore at current exchange rates) from investors including Softbank, Alibaba and Warren Buffett's Berkshire Hathaway.

BloombergQuint first reported the financial performance of One97 Communications.

(With inputs from agencies)