“The sturdy (consolidated) revenue progress this yr is primarily pushed by our retail enterprise, which recorded a 37% progress in AUM, credit score prices fell whereas margins improved,” Jairam Sridharan, managing director, Piramal Enterprises, informed ET.
Nonetheless, on a standalone foundation, it reported a 39% drop in web revenue to Rs 181 crore as a consequence of a 19% decline in curiosity revenue – to Rs 396 crore.
The corporate’s property underneath administration stood at Rs 85,756 crore, up 22% yr on yr, whereas the NBFC’s web curiosity margin rose 10 foundation factors to five.9%.
“Now we have not but benefited from the repo charge cuts introduced by the central financial institution. The results are simply beginning to present on the finish of the quarter, however our margins haven’t been affected by the cuts and are solely anticipated to get higher within the subsequent quarter,” stated Sridharan.
The non-banking finance firm’s web value at present stands at Rs 27,174 crore.The share of the retail mortgage guide was 81% at Rs 69,000 crore, with a product mixture of housing, private, enterprise and used automotive loans. Of this, 66% of the retail guide is in inexpensive housing loans and loans in opposition to property.Piramal’s legacy guide has additionally been decreased to solely 7%, permitting room for brand new mortgage progress, Sridharan stated. Almost 15% of the guide is within the type of unsecured loans. Piramal’s gross non-performing property (NPA) are at 2.8%, with a web NPA at 2%.
The corporate expects to finish the merger of Piramal Finance with itself by September this yr.
