“The robust (consolidated) revenue progress this 12 months 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, instructed ET.
Nonetheless, on a standalone foundation, it reported a 39% drop in web revenue to Rs 181 crore resulting from a 19% decline in curiosity earnings – to Rs 396 crore.
The corporate’s belongings beneath administration stood at Rs 85,756 crore, up 22% 12 months on 12 months, whereas the NBFC’s web curiosity margin rose 10 foundation factors to five.9%.
“We’ve not but benefited from the repo charge cuts introduced by the central financial institution. The consequences 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,” mentioned Sridharan.
The non-banking finance firm’s web value at the moment stands at Rs 27,174 crore.The share of the retail mortgage ebook 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 ebook is in inexpensive housing loans and loans towards property.Piramal’s legacy ebook has additionally been decreased to solely 7%, permitting room for brand spanking new mortgage progress, Sridharan mentioned. Practically 15% of the ebook is within the type of unsecured loans. Piramal’s gross non-performing belongings (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 12 months.
