Latest news with #ArulChakravarthi
Time of India
28-04-2025
- Business
- Time of India
Shriram Finance shares in focus as Q4 profit rises 10% YoY; Nuvama raises target to Rs 760
Shriram Finance shares will be in focus on Monday after the company reported a 10% year-on-year (YoY) rise in standalone net profit to Rs 2,139 crore for the quarter ended March 2025, supported by strong disbursements and healthy net interest income . Net interest income (NII) for the quarter grew 13% to Rs 6,051 crore from Rs 5,336 crore in the year-ago period. Total income in Q4 stood at Rs 11,460 crore, up from Rs 9,498 crore a year earlier. Revenue from operations rose 21% YoY to Rs 11,454 crore, while fee and commission income more than doubled to Rs 331 crore. Also Read: 25 Transformative Investment Ideas: RIL, SBI among HDFC Securities' high-conviction stock picks Despite rising costs, profit before tax rose to Rs 12,606 crore, partly boosted by a one-time gain of Rs 1,657 crore from the sale of its stake in subsidiary Shriram Housing Finance (now Truhome Finance). "Our strong performance this year reflects the strength of our lending model and disciplined risk management. We are focused on digital expansion and improving customer experience while maintaining our leadership in rural and semi-urban lending," said Arul Chakravarthi, MD & CEO, Shriram Finance Live Events The company's loan book expanded to Rs 2.45 lakh crore, up from Rs 2.08 lakh crore in FY24. Asset quality remained stable, with gross NPA at 4.55% and net NPA at 2.64%. The capital adequacy ratio stood at 20.66%, well above regulatory requirements. Nuvama view on Shriram Finance Nuvama has maintained a 'Buy' rating on Shriram Finance and raised the target price to Rs 760 from Rs 720. While the company reported strong headline numbers, it missed estimates on credit cost and Net Interest Margin (NIM) for Q4FY25. The miss on NIM was attributed to liquidity remaining high at Rs 300 billion versus the normalised Rs 190 billion. NIM fell by 23 basis points quarter-on-quarter (QoQ) and by 49 basis points over the last two quarters, leading to a flat NII on a sequential basis. Credit cost also rose sharply by 18% QoQ to 2.4% of Assets Under Management (AUM), while GS2 increased by 18 basis points QoQ. The rise in stress loans and credit cost was driven by a lower-than-expected improvement in asset quality in Q4, typically a strong seasonal quarter, along with the impact of a stress test. Looking ahead, the management has guided for NIM to improve to 8.5–8.6% in FY26E, along with 15% AUM growth. They do not foresee stress or credit cost rising in FY26E. However, near-term price performance is expected to remain soft. Also Read: Stocks in news: Ultratech Cement, Adani Green, RIL, IDFC First Bank, Hindustan Zinc ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Time of India
25-04-2025
- Business
- Time of India
Shriram Finance Q4 Results: Standalone profit rises 10% YoY to Rs 2,139 crore; Co declares Rs 3 dividend
Shriram Finance on Friday reported a 10% year-on-year (YoY) growth in standalone net profit to Rs 2,139 crore for the fourth quarter ended March 2025, aided by strong disbursements and healthy net interest income. The net interest income for the fourth quarter increased 13% to Rs 6,051 crore as against Rs 5,336 crore in the same period of the previous year. Total income in Q4 stood at Rs 11,460 crore, up from Rs 9,498 crore a year earlier. Revenue from operations rose 21% YoY to Rs 11,454 crore. Fee and commission income of Rs 331 crore more than doubled from the year-ago period. Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. For the full year FY25, net profit surged 36% YoY to Rs 9,761 crore, compared with Rs 7,190 crore in FY24. Total income in the same period rose to Rs 41,859 crore, up from Rs 34,998 crore last year. Despite rising costs, profit before tax rose to Rs 12,606 crore, partly boosted by a one-time gain of Rs 1,657 crore from the sale of its stake in subsidiary Shriram Housing Finance (now Truhome Finance). Live Events The board declared a final dividend of Rs 3 per share, taking the total pay out for FY25 to Rs 9.9 per share, adjusted for stock split. "Our strong performance this year reflects the strength of our lending model and disciplined risk management. We are focused on digital expansion and improving customer experience while maintaining our leadership in rural and semi-urban lending," said Arul Chakravarthi, MD & CEO, Shriram Finance The company's loan book expanded to Rs 2.45 lakh crore, up from Rs 2.08 lakh crore in FY24. Asset quality remained stable, with the gross NPA ratio at 4.55% and net NPA at 2.64%. The capital adequacy ratio stood at 20.66%, well above regulatory requirements. The company said it plans to raise funds via NCDs, foreign borrowings, and other instruments in FY26, subject to shareholder approval.
