V.B. Desai Financial Services Reports 63.7% Jump in Q1 Net Profit
VB Desai Financial Services Limited announced a significant increase in its Q1 FY24 financial performance. Net profit rose by 63.7% year-on-year to Rs 20.28 crore. Revenue from operations increased by 24.75% to Rs 96.46 crore, while total income grew by 49.95% to Rs 123.45 crore. The company's EPS improved from Rs 0.27 to Rs 0.45. Other income saw a substantial increase, contributing to overall profit growth. Despite higher expenses, the company maintained profitability through effective cost management.
*this image is generated using AI for illustrative purposes only.
VB Desai Financial Services Limited, a prominent player in the financial services sector, has reported a significant increase in its net profit for the quarter ended June 30. The company's unaudited standalone financial results, approved by the Board of Directors on July 21, reveal a robust performance across key financial metrics.
Financial Highlights
- Net Profit: Rs 20.28 crore, up 63.7% year-on-year
- Revenue from Operations: Rs 96.46 crore, increased from Rs 77.32 crore in the previous year
- Total Income: Rs 123.45 crore, compared to Rs 82.33 crore in the corresponding quarter
- Earnings Per Share (EPS): Improved to Rs 0.45 from Rs 0.27 year-on-year
Detailed Financial Performance
The company's financial results showcase a strong growth trajectory:
| Particulars (in Rs. lakhs) | Q1 (Unaudited) | Q1 (Unaudited) | YoY Change (%) |
|---|---|---|---|
| Revenue from Operations | 96.46 | 77.32 | 24.75% |
| Other Income | 26.99 | 5.01 | 438.72% |
| Total Income | 123.45 | 82.33 | 49.95% |
| Total Expenses | 96.41 | 65.19 | 47.89% |
| Profit Before Tax | 27.04 | 17.14 | 57.76% |
| Net Profit | 20.28 | 12.39 | 63.68% |
| EPS (Basic & Diluted) | 0.45 | 0.27 | 66.67% |
Key Observations
Revenue Growth: The company's revenue from operations saw a notable increase of 24.75% compared to the same quarter last year, indicating strong business performance.
Profitability Surge: Net profit jumped by 63.68%, outpacing revenue growth and suggesting improved operational efficiency.
Other Income Boost: A significant rise in other income, from Rs 5.01 lakhs to Rs 26.99 lakhs, contributed to the overall profit growth.
Expense Management: Despite a 47.89% increase in total expenses, the company managed to achieve higher profitability, reflecting effective cost management strategies.
Shareholder Value: The earnings per share (EPS) improved substantially from Rs 0.27 to Rs 0.45, representing a 66.67% increase and enhancing shareholder value.
Management Commentary
The financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors at their meeting held on July 21. The company's auditors have provided an unmodified opinion on the unaudited standalone financial results for the quarter ended June 30, in compliance with SEBI regulations.
VB Desai Financial Services Limited continues to operate in the financial services segment, with no changes reported in its business structure or reporting methodology.
The company's strong performance in the first quarter sets a positive tone for the fiscal year, reflecting its resilience and adaptability in the dynamic financial services landscape. Investors and stakeholders will likely keep a close watch on the company's performance in the coming quarters to assess the sustainability of this growth trajectory.
Historical Stock Returns for VB Desai Financial Services
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -2.13% | -8.00% | -5.78% | -21.39% | -23.59% | +296.55% |
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