CRISIL April-June Net Profit Up 14%, Aided by higher other income

CRISIL Ltd. on Tuesday reported a 14.3% on-year rise in its consolidated net profit to ₹1.72 billion for the June quarter, driven by a sharp jump in other income. Sequentially, profit rose 7.3%.

Revenue from operations rose 5.7% on year to ₹8.43 billion, while total income was up 6.3% to ₹8.67 billion. On a quarter-on-quarter basis, revenue rose 3.7% and total income increased 2.7%.

The company’s other income grew 30% on year to ₹235.3 million but slipped from the previous quarter. Total expenses rose 5.6% on year to ₹6.42 billion, mainly due to a spike in finance and depreciation costs. Finance costs surged more than 700% on year to ₹56.4 million, while depreciation and amortisation expenses nearly doubled to ₹316.9 million. However, other expenses fell nearly 13% on year and 20% on quarter to ₹687 million.

CRISIL declared an interim dividend of ₹9 per share for the year ending December. 31, to be paid on August 8.

For the first half of the year, net profit was up 15% on year at ₹3.31 billion. Revenue from operations for Jan-Jun rose 7.9% to ₹16.56 billion, and total income increased 8.7% to ₹17.10 billion. Other income jumped 38% on year to ₹541.2 million in the same period.

The company also announced the closure of its wholly owned subsidiary Coalition Development Singapore Pte. Ltd. within 12 months to streamline its global entity structure. The subsidiary contributed only 0.22% to CRISIL’s net worth.

CRISIL MD & CEO Amish Mehta said public investments, a favourable monsoon, low inflation, and healthy external indicators are supporting India’s economic growth, and the company is well positioned to tap emerging opportunities through continued investments in tech and talent.