L&T Finance Ltd's Q3FY25 Quarter Results
- 22 Jan 2025
Result Summary
- L&T Finance Ltd reported a 2.0% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 14.6%.
- Its expenses for the quarter were up by 0.7% QoQ and 5.4% YoY.
- The net profit decreased 10.2% QoQ and decreased 2.1% YoY.
- The earnings per share (EPS) of L&T Finance Ltd stood at 2.5 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 4105.13 | 4024.02 | 3581.26 | 2.0% | 14.6% |
Total Expenses | 2552.27 | 2533.94 | 2420.57 | 0.7% | 5.4% |
Profit Before Tax | 823.90 | 939.57 | 824.04 | -12.3% | -0.0% |
Tax | 198.25 | 242.89 | 184.67 | -18.4% | 7.4% |
Profit After Tax | 625.65 | 696.68 | 639.37 | -10.2% | -2.1% |
Earnings Per Share | 2.50 | 2.80 | 2.60 | -10.7% | -3.8% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
L&T Finance Ltd is a prominent non-banking financial company (NBFC) in India. It is part of the Larsen & Toubro (L&T) Group, a major conglomerate with diverse business interests. L&T Finance offers a variety of financial products and services, including retail and corporate loans, infrastructure finance, rural finance, and investment management. As a leader in the financial services sector, L&T Finance is known for its focus on sustainable growth and innovation. The company operates in a competitive landscape, facing challenges and opportunities within the dynamic Indian financial services industry. Recent developments may include strategic initiatives aimed at enhancing operational efficiencies, expanding digital offerings, and optimizing the portfolio to strengthen its market position.
Revenue
In the third quarter of fiscal year 2025 (Q3FY25), L&T Finance Ltd reported a total income of ₹4105.13 crores. This represents a 2.0% increase compared to the previous quarter (Q2FY25), where the total income was ₹4024.02 crores. On a year-over-year basis, the company experienced a significant growth of 14.6% from ₹3581.26 crores recorded in Q3FY24. Such growth in revenue highlights the company's ability to expand its income streams over the period under review. The consistent upward trend in total income may reflect the company's efforts in enhancing its product offerings and leveraging market opportunities.
Profitability
The financial data indicates a mixed performance in profitability for L&T Finance Ltd. The Profit Before Tax (PBT) for Q3FY25 stood at ₹823.90 crores, showing a decrease of 12.3% from the previous quarter's figure of ₹939.57 crores. Compared to the same quarter in the previous year (Q3FY24), where PBT was ₹824.04 crores, there is a marginal decrease. Tax expenses for the quarter amounted to ₹198.25 crores, reflecting an 18.4% decline from Q2FY25 and a 7.4% increase compared to Q3FY24. The Profit After Tax (PAT) for Q3FY25 was ₹625.65 crores, marking a decline of 10.2% quarter-over-quarter and 2.1% year-over-year. Earnings Per Share (EPS) also saw a reduction, with Q3FY25 reporting ₹2.50, compared to ₹2.80 in Q2FY25 and ₹2.60 in Q3FY24.
Operating Metrics
L&T Finance Ltd's operating metrics from the financial data reflect certain key trends. Total expenses for Q3FY25 were ₹2552.27 crores, which increased by 0.7% from the previous quarter and by 5.4% year-over-year. The changes in expenses and income collectively impacted profitability metrics such as Profit Before Tax and Profit After Tax. The decline in EPS by 10.7% from the previous quarter and by 3.8% year-over-year aligns with the observed changes in profitability. These figures provide a snapshot of the company's operational efficiency and cost management strategy during the quarter. The financial data presents an overall view of how L&T Finance Ltd navigated its operating environment amid internal and external factors affecting its performance.
