Amazon Pay, the payments business of e-commerce firm Amazon India, saw widening of its net loss in FY17 at Rs 177.8 crore against Rs 7.88 crore a year back, filings with the Registrar of Companies (RoC) and data platform Tofler show. Revenue from operations during the period increased to Rs 4.08 crore from Rs 28 lakh a year back. Salaries and wages paid by the company rose eightfold to Rs 44.65 crore during the year from Rs 4.7 crore in FY16. Total expenses also increased to Rs 185 crore from Rs 8.2 crore in FY16.
In an effort to push cashless transactions, Amazon India launched its payments service under Pay Balance in 2016. In April 2017, Amazon secured a licence to operate a pre-paid payment instrument (PPI) or a digital wallet. With this, Amazon joined the ranks of its rivals Flipkart and Paytm Mall. Both Flipkart and Paytm Mall have their own wallets, PhonePe and Paytm, respectively.
In March 2018, Amazon Pay received fresh funds of Rs 195 crore from Singapore-based Amazon Corporate Holdings and Amazon.com, according to RoC papers sourced by Paper.VC. Prior to this in September last year, Amazon infused Rs 260 crore in the payments. Amazon has invested close to Rs 700 crore in the payments business since 2016. – Financial Express