CRISIL falls from record high on weak March quarter results

The stock down 8% to Rs 2,165 on the NSE after reporting 18% yoy drop in profit at Rs 56 crore in March 2015 quarter.

Shares of CRISIL has dipped 8% to Rs 2,165 on the National Stock Exchange (NSE) after reported 18% year on year drop in its consolidated net profit at Rs 56.32 crore for the quarter ended March 31, 2015 (Q4). The rating agency had profit of Rs 68.71 crore in a year ago quarter.

Income from operations too dipped marginally by 1% at Rs 307 crore in March 2015 quarter against Rs 309 crore in the corresponding quarter of previous year.

The company said rating revenues were mainly impacted by reduced budgetary support from Government of India for the NSIC-Performance & Credit Rating Scheme for small and medium enterprise.

The appreciation of the rupee against the GBP and the Euro partly impacted the growth in the global businesses, it added.

However, rating agency expect the rating business to benefit from improvement in the investment climate, pick up in credit growth and decline in interest rates over the coming months.

Meanwhile, the stock has fallen 9% from its record high of Rs 2,371 touched on the NSE in early morning trade before the announcement of results. A combined 76,330 shares changed hands on the counter till 1426 hours on the NSE and BSE.