Paytm posted its result for the quarter ended September 30, 2021, on Saturday. The digital payments firm saw losses in Q2 increase to Rs 473 crore, up 24 percent sequentially and 8.5 percent annually, as expenses increased.The company also saw a small dip in contribution margin to 23.9 percent, down from 27.4 percent in the June quarter. The contribution profit stood at Rs 260 crore, compared to Rs 244 crore in the earlier quarter.Paytm’s revenue from operations for the second quarter of the fiscal jumped 63.6 percent to Rs 1,086.4 crore on a year-on-year (Y-o-Y) basis. It is 22 percent higher than the revenue of Rs 890.8 crore in the previous quarter.Paytm’s contribution to profit was up as much as 592 percent Y-o-Y to Rs 260 crore due to monetisation of a large distribution base through high margin offerings such as lending, advertisements, and commerce offerings, the firm said in a regulatory filing.The company's EBITDA (earnings before interest, taxes, depreciation, and amortization) loss came in at Rs 452.4 crore, up from a loss of Rs 445.6 crore (YoY), and Rs 371 crore loss (QoQ).Paytm announced the earnings for FY22 days after the stock of its parent firm One97 Communications Limited, made a weak debut in the secondary market on November 18.Commenting on the result, Paytm said, “Revenues from Payment and Financial Services went up by 69 percent y-o-y to Rs 8,426 million, driven by 52 percent growth in non-UPI payment volumes (GMV) and growth from Financial Services and Other revenues by more than 3 times.”The revenue from payment services to customers was up 54 percent Y-o-Y to Rs 3,53 crore, while revenue from payment services to merchants was up 64 percent Y-o-Y to Rs 400 crore.The company's marketing expense increased to Rs 185 crore, up 35 percent QoQ and 36 percent YoY. Its employee expenses also jumped to Rs 386 crore, up 10 percent QoQ. Also Read: Cryptocurrency is here to stay, says Paytm founder Vijay Shekhar SharmaPaytm disclosed certain key metrics last week, which show that its Gross Merchandise Value (GMV) in October stood at Rs 83,200 crore, up 131 percent YoY. The GMV for Q2FY22 came in at Rs 1.95 lakh crore, up 107 percent YoY.Meanwhile, monthly transacting users in October stood at 63 million, up 35 percent Y-o-Y, and also up from 57 million in Q2.Paytm also saw a growth in its lending business, with 1.3 million loans disbursed in October, while in Q2, the company disbursed 2.8 million loans.The company said that the growth of non-UPI GMV has driven continued payments revenue growth, and its UPI-led payment volume growth is translating to a significant ramp-up of its financial services offering." We are driving digital payments and financial services penetration and widespread adoption across India. Paytm has seen a strong second quarter of FY22, which is a testimony to the strong two-sided ecosystem of consumers and merchants that we have built. We have maintained the growth momentum in our payments services business, expanded our financial services business aggressively and are on our way to pre-COVID volumes for Commerce and Cloud services,” it added.