Piramal Enterprises Q3 Results FY2023, Net profit at Rs. 3545 crores

On 8th February, Piramal Enterprises announced its results for the third quarter of FY2023.

Key Highlights:

- The company reported a net interest income of Rs. 1141 crores, up by 13% YoY
- PBT was reported at Rs. 59 crores, with a drop of 93% YoY.
- The company reported a PAT at Rs. 3545 crores, with a growth of 299% YoY.

Business Highlights:

- In the retail segment, AUM grew 29% YoY to Rs. 27,896 Crores, contributing 43% to the overall AUM mix. Quarterly disbursements grew 29% QoQ and 593% YoY to Rs. 5,111 Crores. Home Loan disbursements grew 456% YoY to Rs. 1,875 Crores. Healthy disbursement yields (excl. loans < 1-year duration) at 13.9% for the quarter. 
- The retail segment, launched Budget Housing and LAP Plus products. The portfolio of 13 retail lending products and continued focus on building a diversified portfolio. 22 programs live across 20 partners in Digital Embedded Finance, including fintech and consumer tech firms.
- The wholesale segment’s AUM reduced by 20% YoY to Rs. 35,101 Crores. 
- Gross NPA Ratio stood at 4.0% with the Net NPA ratio at 1.7%. 
- Total provisions as a % of total AUM now stands at 10% in Q3FY23
- Capital Adequacy Ratio of 31% on the consolidated balance sheet. 
- Net worth strengthened to Rs. 31,241 Crores

Commenting on the results, Ajay Piramal, Chairman, of Piramal Enterprises Ltd., said, “Q3 performance is in line with our commitment towards building a large diversified NBFC, with Retail Lending comprising 2/3rd of the assets in the mid to long term. In retail, we have delivered sustained growth across key parameters over the last year. We continue to scale our technology-led multi-product franchise, focused on fulfilling the credit needs of the “Bharat” market.
In wholesale, we have created a one-time additional provisioning buffer during the quarter and are now adequately provided towards Wholesale 1.0 AUM. Simultaneously, we are focused on building the new cash flow / asset-backed Wholesale 2.0 book across the real estate as well as corporate mid-market lending, by capitalizing on the market gap and leveraging our strengths. Our endeavor is to continue to create long-term value for stakeholders.”