Shriram Finance Ltd's Q3FY25 Quarter Results
- 25 Jan 2025
Result Summary
- Shriram Finance Ltd reported a 6.0% 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 15.0%.
- Its expenses for the quarter were up by 8.4% QoQ and 19.6% YoY.
- The net profit increased 50.9% QoQ and increased 73.4% YoY.
- The earnings per share (EPS) of Shriram Finance Ltd stood at 17.3 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 10705.47 | 10096.68 | 9305.75 | 6.0% | 15.0% |
Total Expenses | 6620.49 | 6110.16 | 5534.07 | 8.4% | 19.6% |
Profit Before Tax | 4312.81 | 2751.53 | 2512.60 | 56.7% | 71.6% |
Tax | 1080.74 | 680.27 | 640.23 | 58.9% | 68.8% |
Profit After Tax | 3248.64 | 2153.27 | 1873.59 | 50.9% | 73.4% |
Earnings Per Share | 17.30 | 56.90 | 49.60 | -69.6% | -65.1% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Shriram Finance Ltd is a prominent financial services company operating primarily in the Indian market. The company focuses on providing a broad range of financial products and services, including loans, vehicle financing, and insurance services. Shriram Finance Ltd is part of the Shriram Group, a conglomerate with a significant presence in financial services, known for catering to the needs of underserved and unbanked segments in India. The company has been actively expanding its service offerings and geographical reach to enhance its market presence. However, specific recent major developments in the company's operations or strategic initiatives are not provided in the available data.
Revenue
In the third quarter of the fiscal year 2025, Shriram Finance Ltd reported a total income of ₹10,705.47 crores. This represents a quarter-over-quarter growth of 6.0% compared to the previous quarter, where total income was ₹10,096.68 crores. Year-over-year, the company's total income increased by 15.0%, up from ₹9,305.75 crores in the same quarter of the previous fiscal year. The consistent growth in total income indicates a robust performance in revenue generation over both the quarterly and annual periods.
Profitability
The profitability of Shriram Finance Ltd showed significant improvement in Q3FY25. The company achieved a profit before tax of ₹4,312.81 crores, marking a 56.7% increase from the previous quarter's ₹2,751.53 crores. Compared to the same quarter in the previous year, profit before tax rose by 71.6% from ₹2,512.60 crores. The profit after tax for the current quarter was reported at ₹3,248.64 crores, which is a 50.9% increase quarter-over-quarter and a 73.4% rise year-over-year. Despite these increases, the earnings per share (EPS) declined to ₹17.30 from ₹56.90 in the previous quarter and ₹49.60 in Q3FY24, reflecting a decrease of 69.6% QoQ and 65.1% YoY.
Operating Metrics
Operating expenses for Shriram Finance Ltd in Q3FY25 amounted to ₹6,620.49 crores, exhibiting an 8.4% increase from ₹6,110.16 crores in the prior quarter. On an annual basis, total expenses grew by 19.6% from ₹5,534.07 crores in Q3FY24. The tax expense for the quarter was ₹1,080.74 crores, reflecting a 58.9% increase from ₹680.27 crores in Q2FY25 and a 68.8% rise from ₹640.23 crores year-over-year. These figures highlight a substantial rise in operating costs and tax obligations relative to both the previous quarter and the same period last year, which may affect the company's net profitability margins.
