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Amazon Pay India narrowed its FY24 net loss to Rs 911.2 crore, down by 39.21% from Rs 1,499 crore in FY23, driven by targeted cost reductions.

The fintech firm reported its revenue from operations grew to Rs 2,286.9 crore in FY24, a 9.26% increase from Rs 2,093.1 crore in the previous fiscal year.

Meanwhile, Amazon’s payments arm reported a notable decline in its expenses, with total expenses (excluding depreciation) falling 9.91% to Rs 3,269.2 crore from Rs 3,629.6 crore in FY23.

Most of Amazon’s expenses comprised advertising promotional expenses, which fell 30.62% to Rs 1,534.9 crore in FY24 from Rs 2,004.9 crore in FY23. Its employee benefits expenses also came down by 4.75% to Rs 216.4 crore in FY24 from Rs 227.2 crore in FY23.

Since its launch in 2019, Amazon Pay has rapidly gained traction, amassing over 100 million UPI users and securing a position among India’s top 10 most-used UPI payment methods.

According to NPCI data, Amazon Pay—ranked seventh just behind Axis Bank’s app—processed transactions worth Rs 7,845.04 crore in September 2024, supported by a festive season push that also saw a 16% annual growth in UPI transaction volume.

Amazon Pay has steadily expanded its offerings in India since its launch, going beyond payments for Amazon’s marketplace to include bill payments, travel bookings, and even investment options through partnerships with firms like smallcase and Kuvera.

UPI transactions are central to Amazon Pay’s growth, even though it trails behind Google Pay and PhonePe in transaction volume.

In India, Amazon Pay also operates more extensively in the insurance sector, partnering with Acko, to offer policies and even providing health coverage for its sellers, unlike its more limited B2B-focused payment services in the US and the UK.