Piramal Enterprises stock slips over 6% post Q4 numbers, Motilal Oswal cuts rating to 'Neutral'

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Piramal Enterprises, a prominent diversified non-banking financial company (NBFC), experienced a 6.15% decline in its shares during today's intraday trade, reaching ₹839 apiece. This drop followed the company's release of its Q4 FY24 and full fiscal FY24 financial figures. The decline witnessed today has resulted in the stock losing 10.4% of its value over the course of this week.

On Wednesday, the company reported a consolidated net profit of ₹137 crore for the March quarter, a significant improvement from the ₹196 crore loss in the corresponding period last year. This improvement was attributed to write-backs on taxation and investments in alternative investment funds. Also Read: Breakout stocks today: Sumeet Bagadia recommends five stocks to buy today Interest income for the reporting quarter remained steady at ₹1,944 crore compared to the preceding quarter and increased by 1% year-on-year (YoY).

However, net interest income fell by 18% YoY to ₹755 crore from ₹917 crore in Q4 FY23, with a 10% decrease on a quarter-on-quarter (QoQ) basis. Non-interest income rose by 28% to ₹323 crore for the reporting quarter, primarily due to increased dividend income. Operating expenses increased by 13% QoQ and 17% YoY to ₹785 crore.

For the full fiscal year, the company reported a loss of ₹1,683 crore for 2023–24, compared to a profit of ₹9,969 crore in the previous year. Net interest income for FY24 dropped by 20% to ₹3,022 crore, compared to ₹3,757 crore reported in FY23. Operating expenses increased to ₹2,774 crore from ₹2,215 crore in FY23, representing a 25% YoY growth.