CARE Ratings (CARERATING) Q3 24/25 earnings summary

Executive summary

• Consolidated revenue grew 22% YoY in Q3FY25 to Rs. 96.38 Cr (₹9,637.87 lakhs), and PAT rose 19% YoY to Rs. 28.37 Cr (₹2,873.72 lakhs).

• Ratings business remains the main contributor, while non-ratings business grew 38% YoY, now 10.3% of revenue.

• International expansion continued with subsidiaries in Africa, South Africa, Nepal, and global sovereign rating assignments.

• Standalone revenue for Q3FY25 was Rs. 78.59 Cr (₹7,859.31 lakhs), with PAT at Rs. 29.46 Cr (₹2,902.96 lakhs), up 33% YoY.

• Net profit for 9MFY25 was Rs. 96.10 Cr (₹9,610.35 lakhs), up from Rs. 77.83 Cr (₹7,782.89 lakhs) YoY.

Financial highlights

• Consolidated EBITDA for Q3FY25 was Rs. 30.43 Cr (₹3,872.15 lakhs), margin 32%; PAT margin was 26%.

• Standalone EBITDA margin was 39% in Q3FY25 and 45% for 9MFY25.

• Basic EPS (consolidated) for Q3FY25 was Rs. 9.30 (₹9.30), standalone Rs. 9.85 (₹9.85).

• Employee benefit expenses included ESOP charges of Rs. 41.33 lakhs (consolidated) and Rs. 26.87 lakhs (standalone) in Q3FY25.

• Total consolidated assets as of Dec 31, 2024, were Rs. 912.48 Cr (₹91,247.85 lakhs).

Outlook and guidance

• Management notes continued growth in ratings and strong momentum in non-ratings businesses.

• Cautious optimism due to macroeconomic and regulatory factors impacting credit growth and financial markets.