Piramal Enterprises Q1 Results: Co reports Rs 509 cr profit on Shriram stake sale

economictimes.indiatimes.com:

Shriram Finance helped Piramal Enterprises report Rs 509 crore consolidated net profit for the April-June quarter, barring which it would have been in deep red, according to a company statement. In the June 2022 quarter, the company booked a net profit of Rs 8,155 crore. And in the reporting quarter the same printed at Rs 509 crore led by a gain of Rs 855 crore from the sale of its 8.34% in Shriram Finance for Rs 4,820 crore, the company said in a statement.

Total assets of the company rose to Rs 63,938 crore, of which retail loans constituted 55%, up from 34% a year ago. Retail loans grew 57% to Rs 34,891 crore. On the other hand, the wholesale book came down by 38% to Rs 26,002 crore and the quarterly wholesale loans grew by 355% to Rs 3,045 crore.

Average borrowing cost came down to 8.6% from 8.8%. The NBFC's asset quality improved with gross NPAs falling to 2.8% from 3.8% and net NPAs to 1.5% from 1.9%. Provision coverage ratio for wholesale book came down to 7.6% from 10.5%, resulting from the sell-down and resolution of a few stressed assets.