Shriram Finance (SHRIRAMFIN) Q4 18/19 earnings summary

Executive summary

• FY19 total income was ₹15,546 crore, net interest income ₹7,808 crore, PAT ₹2,564 crore and basic EPS ₹113.01, all on an Ind AS basis.

• AUM crossed ₹1 lakh crore to ₹104,482 crore; Stage 3 assets declined to 8.37% from 9.39% in FY18.

• Results were the first prepared under Ind AS, with FY18 comparatives restated; FY18 included a one-time gain on the SAMIL stake sale.

Financial highlights

• Total income ₹15,545.70 crore vs ₹13,501.39 crore; net interest income ₹7,807.54 crore vs ₹6,785.24 crore, FY18 comparatives on an Ind AS basis.

• PAT ₹2,563.99 crore vs ₹2,460.54 crore; PBT ₹3,778.28 crore vs ₹3,801.80 crore; basic EPS ₹113.01 vs ₹108.45.

• FY18 included an exceptional ₹139.75 crore standalone gain from the SAMIL stake sale; consolidated exceptional gain was ₹123.48 crore.

• Net interest income was ₹7,807.54 crore; securitisation during FY19 was ₹15,123.06 crore.

Outlook and guidance

• Strategy for the next 3–5 years prioritizes broader geographic reach, digital and analytics initiatives, vehicle-finance leadership, loan quality and customer loyalty.

• RBI projected Indian GDP growth at 6.8%–7.1% in H1 FY20 and 7.3%–7.4% in H2 FY20; World Bank forecast 7.5% for FY20.

• SIAM forecast FY20 commercial-vehicle sales growth of 10%–12%, passenger vehicles 3%–5%, two-wheelers 5%–7% and three-wheelers 7%–9%.

• Financing focus remains pre-owned commercial and passenger vehicles, with expansion through branch and rural-centre networks.