In a remarkable display of financial prowess, Jio Financial Services has announced a staggering 101% surge in net profit for the July-September quarter, marking its first quarterly result after its listing on the exchanges in August. This extraordinary feat by the non-banking financial giant, JioFin, reflects the resilience and dynamism of the financial sector amidst challenging economic conditions.
A Game-Changing Quarter
Jio Financial Services witnessed an impressive net profit of Rs 668 crore for the July-September period, representing a remarkable leap of 101% from the previous quarter. This surge is indeed a testament to their financial acumen and strategic decision-making.
An Integral Part of Reliance Industries
Jio Financial Services, an integral part of Mukesh Ambani’s Reliance Industries, reported a total income of Rs 608 crore for the quarter. However, the interest income dipped slightly to Rs 186 crore, down from Rs 202 crore in the April-June FY24 quarter.
A Resilient Growth Trajectory
Total income, which witnessed a substantial rise of 46.8%, stood at Rs 608 crore for the quarter, compared to Rs 414 crore in Q1FY24. While expenses increased by 32.7%, reaching Rs 71.43 crore, up from Rs 53.81 crore quarter on quarter.
Standalone Performance
On a standalone basis, the company’s revenue fell by 31% to Rs 148.9 crore from Rs 214.57 crore in Q1FY24. However, the company still managed to maintain a profitable stand with earnings reaching Rs 88.76 crore, a significant leap compared to Rs 2.03 crore during the same period last year.
Market Capitalization Soars
Data from the exchanges indicates that Jio Financial Services now boasts a total market capitalization of Rs 1.43 lakh crore, reflecting investor confidence in its growth potential.
A New Chief Technology Officer
In a strategic move, the company has appointed AR Ganesh as the Group Chief Technology Officer, effective October 16, 2023. Notably, Ganesh previously served as the Chief Information Security Officer (CISO) at ICICI Bank, where he had overarching responsibilities in the realm of cybersecurity.
Stock Performance
Shares of Jio Financial Services closed for trading on October 16 at Rs 224.85 a piece on the Bombay Stock Exchange (BSE), marking a 0.13% increase. This is indeed an indicator of the growing confidence among investors in the company’s performance.
ICICI Securities Records Stellar Growth
In a parallel development, ICICI Securities, a key player in the ICICI Group, posted impressive financial results. The company reported a remarkable 41% year-on-year growth in profit after tax (PAT), reaching Rs 424 crore in the three months ending September. This marked a significant increase from the Rs 300.4 crore PAT reported in the year-ago period, as revealed in a filing to stock exchanges.
Robust Income Growth
Total income for ICICI Securities surged by a remarkable 44% year-on-year, reaching Rs 1,249 crore in the quarter under review. This significant growth was driven by a surge in broking income, with the cash and derivative segments gaining momentum, in addition to the growth witnessed in the investment banking segment.