Piramal Enterprises reported a consolidated net profit of Rs 48 crore in the September quarter.
This is a significant improvement from the loss of Rs. 1,536 crore reported in the same quarter of the previous fiscal year, indicating an improvement in the company’s profitability profile.
The company said that the total Assets under Management (AUM) experienced a five per cent increase, reaching Rs. 66,933 crore. This growth reflects the stability in the AUM profile observed over the past eight to nine quarters.
The company aims to double its AUM to Rs 120-130 crores in the next five years.
The mix between retail and wholesale has seen progress, with a quarter-end mix of 58 per cent retail and 42 per cent wholesale, aligning with the company’s long-term strategic priorities. In terms of specific business segments, the retail arm demonstrated robust growth, with a 55 per cent year-on-year increase in AUM to Rs. 38,604 crores. On the wholesale side, both Wholesale 1.0 and Wholesale 2.0 exhibited positive trends, with a reduction in Stage 2, Stage 3 assets and security receipts portfolio.
Ajay Piramal, Chairman, Piramal Enterprises said, “Our retail lending business is consistently growing, driven by increased disbursements to fulfil the credit needs of the “Bharat” market. We will continue investing in talent, branches, cognitive intelligence, and data analytics to keep this momentum going,”
As of September 30 2023, the company has a network of 442 branches, establishing a strong presence across the nation. The company plans to further expand by adding 100 more branches in FY 2024, resulting in a robust branch network of 500-600 across 1,000 locations. This expansion aims to reach customers in tier-II, tier-III towns, and the outskirts of tier-I towns.
PEL’s innovation coupled with the ‘high touch’ and ‘high tech’ strategy, has helped develop a multi-product retail-lending to enhance its ability to serve the people of Bharat. The company’s customer base now stands at over 3.6 million, offering an array of more than 13 loan products, including home loans, business loans, personal loans, used car loans and more.
