Edelweiss Financial Services jumps over 7% after Q4 PAT rises 13% to ₹169 crore

Consolidated revenue declined marginally in the quarter at ₹3,027 crore.

In FY24, the company’s net profit rose 22% YoY to ₹421 crore. The ex-insurance net profit for the year grew by 8% YoY to ₹661 crore. During the year, Edelweiss Financial Services’ consolidated revenue rose by 11.22% YoY to ₹9,602 crore.

During the fiscal year, the company’s mutual fund business assets under management (AUM) grew by 21% YoY to ₹1.27 lakh crore. The profitability of the mutual fund business surged 112% YoY to ₹38 crore. The company’s alternative asset management business’ AUM rose by 18% YoY to ₹54,700 crore. Its profitability during the year grew by 32% YoY to ₹210 crore.

Edelweiss Financial Services reduced its net debt by ₹3,270 crore. The board of directors has recommended a final dividend of ₹1.50 per equity share.

Rashesh Shah, chairman of Edelweiss Financial Services said while there could be some short-term uncertainties due to geopolitical tensions, resurgence in inflation, volatility in energy prices, and upcoming elections in many countries, the overall outlook for the Indian economy remains positive with expectations of a continued growth momentum. “We are focused on our key priorities and will scale up profitability in alternative asset management and mutual fund businesses, grow retail credit via the co-lending model, focus on break-even in the Insurance businesses by FY27 and further reduce net debt,” he said.

Shares of the company have risen by nearly 2% since the beginning of the year. The stock has gained over 31% in the last one year.