MUMBAI: JM Financial, a non-banking finance company, reported a 43.5 percent year-on-year rise in the consolidated net profit during the January-March quarter, aided by lower funding costs and expansion in investment banking businesses.
In the three-month period, the company reported a net profit of Rs 233.3 crore compared with Rs 164 crore in the corresponding period last year.
The company declared a dividend of Re 0.50 per share for the whole of the financial year, which reported nearly 4 percent rise in the net profit amid localised restriction on mobility due to COVID19.
“FY20-21 has been one of the most challenging years amidst the uncertainties on account of COVID-19,” said Vishal Kampani, Managing Director, JM Financial Group. We continue to closely monitor the external environment given the uncertainties due to the second wave of the pandemic.”
“Looking ahead, we are well positioned to grow and further scale our businesses in this financial year,” he said.
Borrowing costs, marked as finance costs, dropped 18.6 percent y-o-y to Rs 271 crore. The revenues from investment banking and wealth management businesses grew more than 8 percent during the quarter.
The company helped Tata Consultancy Services and Wipro to buyback equity shares. It also acted as a lead manager for building the initial public offer of Brookfield India Real Estate Trust (REIT).
Indian Railways Finance Corporation (
), Power Finance Corporation, Indian Oil Corporation, Bank of Baroda, Union Bank of India consulted JM Financial to raise bonds.
The assets under administration (AUA) of JM’s private wealth management business were at Rs 59,052 crore as on March 31, 2021, which is 31.5 percent higher than a year ago.