CARE Ratings (CARERATING) Q2 24/25 earnings summary

Executive summary

• Consolidated revenue from operations grew 21% year-over-year to ₹196.29 Cr in H1FY25, with Q2FY25 revenue up 22% year-over-year to ₹117.37 Cr.

• Consolidated PAT increased 26% year-over-year to ₹68.26 Cr in H1FY25, with Q2FY25 PAT up 31% year-over-year to ₹46.88 Cr.

• Approved unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2024, with a limited review by statutory auditors.

• Declared an interim dividend of Rs. 7 per equity share for FY 2024-25, with a record date of November 5, 2024.

• CareEdge launched its global ratings arm at GIFT City, releasing inaugural sovereign ratings for 39 nations, including a BBB+ rating for India.

Financial highlights

• Standalone H1FY25 revenue from operations rose 18% year-over-year to ₹166.85 Cr; Q2FY25 revenue up 19% year-over-year to ₹101.51 Cr.

• Consolidated revenue from operations for Q2 FY25 was Rs. 11,736.79 lakhs, up from Rs. 9,644.14 lakhs in Q2 FY24.

• Net profit for Q2 FY25 stood at Rs. 4,687.83 lakhs, compared to Rs. 3,573.38 lakhs in Q2 FY24.

• Earnings per share (EPS) for H1FY25 was ₹22.36 consolidated and ₹24.64 standalone.

• Standalone EBITDA margin was 47% in H1FY25 and 56% in Q2FY25; PAT margin at 38% and 44% respectively.

Outlook and guidance

• Corporate bond issuances surged 68% year-over-year in Q2FY25, rebounding after election-related uncertainty in Q1.

• Capital infusion in subsidiaries aims to support business expansion, product development, and global scale ratings.

• Commercial paper issuances increased 14% year-over-year in Q2FY25.

• Bank credit growth remained robust at 15% year-over-year as of August 2024, with industrial credit growth accelerating to 9.8%.