CreditAccess Grameen Ltd's Q3FY25 Quarter Results
- 25 Jan 2025
Result Summary
- CreditAccess Grameen Ltd reported a 5.0% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 6.7%.
- Its expenses for the quarter were down by 2.9% QoQ and up 9.5% YoY.
- The net profit decreased 153.5% QoQ and decreased 128.2% YoY.
- The earnings per share (EPS) of CreditAccess Grameen Ltd declined at 6.2 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 1381.93 | 1453.92 | 1295.23 | -5.0% | 6.7% |
Total Expenses | 759.00 | 781.78 | 693.46 | -2.9% | 9.5% |
Profit Before Tax | -128.93 | 251.99 | 475.57 | -151.2% | -127.1% |
Tax | -29.41 | 65.93 | 122.23 | -144.6% | -124.1% |
Profit After Tax | -99.52 | 186.06 | 353.34 | -153.5% | -128.2% |
Earnings Per Share | -6.20 | 11.60 | 22.10 | -153.4% | -128.1% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
CreditAccess Grameen Ltd is a prominent financial institution in India, primarily involved in providing microfinance services. The company focuses on lending to individuals who lack access to traditional banking facilities, often women in rural and semi-urban areas. CreditAccess Grameen Ltd operates within the microfinance industry, which plays a critical role in empowering low-income households by providing them with financial products tailored to their needs. While the specific recent major developments of the company are not detailed here, the microfinance sector has generally been dynamic, often influenced by regulatory changes, economic conditions, and policies aimed at financial inclusion.
Revenue
For the third quarter of fiscal year 2025 (Q3FY25), CreditAccess Grameen Ltd reported a total income of ₹1381.93 crores. This represents a decline of 5.0% quarter-over-quarter (QoQ) from ₹1453.92 crores in Q2FY25. However, there was a year-over-year (YoY) increase of 6.7% from ₹1295.23 crores in Q3FY24. The variations in total income suggest fluctuations in revenue generation, possibly influenced by market conditions and operational factors specific to the microfinance sector during these periods.
Profitability
In Q3FY25, the company experienced a profit before tax (PBT) of -₹128.93 crores, which is a significant drop compared to the previous quarter's PBT of ₹251.99 crores and the same quarter last year, which stood at ₹475.57 crores. This reflects a QoQ decline of 151.2% and a YoY decrease of 127.1%. The tax component for Q3FY25 was -₹29.41 crores, compared to ₹65.93 crores in Q2FY25 and ₹122.23 crores in Q3FY24, resulting in a QoQ change of -144.6% and a YoY change of -124.1%. Subsequently, the profit after tax (PAT) was -₹99.52 crores in Q3FY25, compared to a PAT of ₹186.06 crores in Q2FY25 and ₹353.34 crores in Q3FY24, indicating declines of 153.5% QoQ and 128.2% YoY. Earnings per share (EPS) followed a similar trend, with a value of -₹6.20 in Q3FY25, down from ₹11.60 in Q2FY25 and ₹22.10 in Q3FY24, reflecting declines of 153.4% QoQ and 128.1% YoY.
Operating Metrics
Total expenses for the quarter amounted to ₹759.00 crores, showing a slight decrease of 2.9% from ₹781.78 crores in Q2FY25. However, there was an increase of 9.5% compared to ₹693.46 crores in Q3FY24. These figures indicate the company's operational cost dynamics over the periods in question. The financial data highlights a considerable shift in profitability metrics, where the company's expenses relative to income appear to have impacted its overall financial performance. These figures provide insight into the operational challenges or strategic adjustments the company might be navigating within the microfinance landscape.
