Northern ARC Capital Ltd's Q3FY25 Quarter Results
- 15 Feb 2025
Result Summary
- Northern ARC Capital Ltd reported a 0.9% 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 16.8%.
- Its expenses for the quarter were up by 8.4% QoQ and 20.8% YoY.
- The net profit decreased 23.9% QoQ and decreased 10.9% YoY.
- The earnings per share (EPS) of Northern ARC Capital Ltd stood at 4.7 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 580.70 | 585.89 | 497.03 | -0.9% | 16.8% |
Total Expenses | 404.75 | 373.37 | 335.19 | 8.4% | 20.8% |
Profit Before Tax | 94.49 | 134.16 | 108.42 | -29.6% | -12.8% |
Tax | 20.86 | 37.43 | 25.73 | -44.3% | -18.9% |
Profit After Tax | 73.17 | 96.15 | 82.08 | -23.9% | -10.9% |
Earnings Per Share | 4.70 | 6.70 | 5.70 | -29.9% | -17.5% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Northern ARC Capital Ltd is a financial services company in India that operates primarily in the finance and lending sectors. The company is known for its focus on providing structured finance products to underserved sectors, often working with microfinance institutions, small and medium enterprises (SMEs), and other specialized financial services. Northern ARC Capital Ltd aims to improve access to finance for these segments, enhancing their financial inclusion. As of the latest data, there are no specific recent major developments provided, but the company generally positions itself as a crucial player in bridging the credit gap for underbanked segments in India.
Revenue
During the third quarter of the fiscal year 2025 (Q3FY25), Northern ARC Capital Ltd reported a total income of ₹580.70 crores. This figure represents a slight decrease of 0.9% compared to the previous quarter (Q2FY25), where the total income was ₹585.89 crores. However, on a year-over-year basis, there was a significant increase of 16.8% from Q3FY24, when the total income was ₹497.03 crores. This growth indicates that the company experienced a substantial increase in its revenue streams over the past year, despite the quarter-over-quarter decline.
Profitability
In terms of profitability, Northern ARC Capital Ltd's profit before tax for Q3FY25 was ₹94.49 crores. This marks a significant decrease of 29.6% from the previous quarter, where the profit before tax stood at ₹134.16 crores. Compared to the same quarter in the previous year, profit before tax declined by 12.8% from ₹108.42 crores. The tax expenses for the third quarter of FY25 were ₹20.86 crores, reflecting a decrease of 44.3% from Q2FY25 and a decrease of 18.9% compared to Q3FY24. Consequently, the profit after tax for Q3FY25 was ₹73.17 crores, which is a 23.9% decline from the previous quarter and a 10.9% decline from the same quarter last year.
Operating Metrics
The earnings per share (EPS) for Northern ARC Capital Ltd in Q3FY25 was ₹4.70, which saw a decrease of 29.9% from the EPS of ₹6.70 in Q2FY25. On a year-over-year basis, the EPS decreased by 17.5% from ₹5.70 in Q3FY24. Total expenses for Q3FY25 amounted to ₹404.75 crores, an increase of 8.4% from the previous quarter's expenses of ₹373.37 crores and a 20.8% rise from ₹335.19 crores in Q3FY24. This increase in total expenses alongside the decline in profit margins might indicate changes in the company's cost structure or operational scale. However, without additional context or data, further analysis is not possible.
