Shriram Finance Q3 results: Net profit rises marginally to Rs 1,873 crore

Shriram Finance Ltd, the largest retail Non-Banking Financial Company (NBFC) in India, has posted a marginal rise of 4 per cent in consolidated net profit to Rs 1,873.59 crore during the third quarter of 2023-24, as compared to Rs 1,801.66 crore during the same period in 2022-23.

During the period under review, the company’s total income was seen at Rs 9,305.75 crore, up 19 per cent from Rs 7,798.31 crore during the October to December period of FY23. “The business growth has been good, net interest margin has been growing, liquidity uncertainties are not there, therefore we should be able to grow for the next quarter also. We also expect the interim budget to be positive for the infrastructure sector. Overall it will be a healthy fourth quarter,” said Umesh Revankar, Executive Vice Chairman of Shriram Finance.

During the period under review, its assets under management (AUM) were seen at Rs 2.14 trillion, compared to Rs 1.77 trillion during the October to December quarter in 2022-23, up by 21 per cent. During the quarter under review, its gross non-performing asset (NPA) was seen down to 5.66 per cent, as compared to 5.79 per cent as in September, and 6.29 per cent during the third quarter of 2022-23. On the other hand, net NPA was seen at 2.72 per cent, compared to 2.80 per cent in the September quarter and 3.20 per cent during the October to December period of 2022-23.

The company’s consolidated net interest income for the third quarter ended December 2023 increased by 16.93 per cent and stood at Rs 5,274.91 crore as against Rs 4,511.35 crore in the same period of the previous year. Consolidated earnings per share (basic) increased by 2.96 per cent and stands at Rs 49.70 as compared to Rs 48.27 recorded in the same period of the previous year. The Board declared an interim dividend of Rs 10 (100 per cent) per share, the Record Date for the entitlement was fixed as 6 February.

First Published: Jan 25 2024 | 7:18 PM IST