Shriram Finance Q2FY25 results: Net profit rises 20% to Rs 2,153 crore

Shriram Finance, the largest retail non-banking financial company (NBFC) in India, posted a consolidated net profit of Rs 2,153.27 crore during the second quarter of the current financial year, up 20.17 per cent compared to Rs 1,791.83 crore recorded during the July to September quarter of 2023-24.

 

The NBFC’s total income during the period under review increased by 18 per cent to Rs 10,096.68 crore, up from Rs 8,564.45 crore during the same quarter in 2023-24. By the end of the second quarter, its total assets under management (AUM) had also increased by 20 per cent to Rs 2,43,042.55 crore, compared to Rs 2,02,640.96 crore during the same period in 2023-24. Consolidated earnings per share (EPS) (basic) rose by 19.58 per cent to Rs 56.93, compared to Rs 47.61 in the same period of the previous year.

 

The gross non-performing asset (NPA) for the quarter reduced to 5.32 per cent, compared to 5.39 per cent in Q1 and 5.79 per cent during Q2 of FY24. Net NPA stood at 2.64 per cent, down from 2.71 per cent in the April to June quarter and 2.80 per cent during the July to September period of FY24. The board has declared an interim dividend of (220 per cent) Rs 22 per share, with a record date for entitlement fixed as November 7.

 

The board of directors of the company, in its meeting held on May 13, 2024, approved the proposal for disinvestment of the company’s entire stake in Shriram Housing Finance Limited, a debt-listed, non-material subsidiary of the company. In this regard, the company has entered into a share purchase agreement with Mango Crest Investment Ltd, an affiliate of Warburg Pincus.