The shares of this company surged 7 percent on Tuesday’s trading session after the company announced its financial results and made a couple of announcements. In this article, we will go through its financials.
With a market capitalization of Rs 10,600 crores, the shares of JM Financial Ltd are currently trading at Rs 111 per share, down by 34.3 percent from its 52-week high of Rs 168.75 per share. In the last one year, the stock has delivered a superior performance with a return of 39 percent.
Financial Highlights
JM Financial reported a consolidated revenue of Rs 4,378 crores in FY25, marking a decline of 8.52 percent from Rs 4,786 crores in FY24. On a year-on-year (YoY) basis, revenue dropped 20.37 percent to Rs 1,004 crores in Q4 FY25 from Rs 1,261 crores in Q4 FY24. On a quarter-on-quarter (QoQ) basis, revenue also declined 9.22 percent from Rs 1,106 crores in Q3 FY25.
Despite the revenue dip, the company delivered a remarkable turnaround in profitability. Net profit surged by 2,396.77 percent to Rs 774 crores in FY25 from just Rs 31 crores in FY24. In Q4 FY25 alone, JM Financial reported a profit of Rs 235 crores, compared to a significant loss of Rs 674 crores in the same quarter last year. On a QoQ basis, profit grew 13.53 percent from Rs 207 crores in Q3 FY25, showcasing a sustained recovery in bottom-line performance.
Additionally, it recommended a dividend of Rs. 2.70 per share for the financial year 2024-25, subject to approval of the members at the ensuing Annual General Meeting.
Also read: FMCG stock hits 10% upper circuit after company’s net profits increases by 1,130% QoQ
Segment Highlights
The Investment Banking business reported revenue of Rs 379 crore in Q4 FY25, down 11.8 percent from Rs 429 crore in Q3 FY25 and down 37.4 percent from Rs 605 crore in Q4 FY24. This segment’s revenue for the year FY25 was Rs 1,758 crore, down 11.1 percent from Rs 1,978 crore in FY24. Segment’s Profit after tax (PAT) for the quarter was Rs 124 crore, down 19.1 percent sequentially and down 58.5 percent year-on-year. For FY25, PAT declined 16.8 percent to Rs 587 crore from Rs 706 crore in FY24.
Mortgage Lending revenue was at Rs 295 crore in Q4 FY25, down 8.2 percent from Rs 322 crore in Q3 and down 27.1 percent from Rs 405 crore in Q4 FY24. This segment’s revenue for the year fell by 14 percent to Rs 1,317 crore from Rs 1,531 crore in FY24. But this quarter it registered a robust PAT performance in this segment with Rs 38 crore in Q4 FY25, up 150 percent from last quarter and reversing the loss of Rs 33 crore in Q4 FY24. FY25 PAT from this segment jumped sharply by 176.1 percent to Rs 85 crore from Rs 31 crore in FY24.
The Alternative & Distressed Credit segment posted revenue of Rs 61 crore in Q4 FY25, a sharp fall of 28.8 percent from Rs 86 crore in Q3 FY25. This segment’s revenue for the year fell by 30.5 percent to Rs 227 crore from Rs 326 crore in FY24. It reported a segment PAT of 10 crores in Q4 FY25, an increase of 92.5 percent from Rs 5 crores in the previous quarter. And recorded a loss of Rs 18 crores in FY25 as compared to a profit of Rs 47 crores in FY24 in this segment.
Platform AWS revenue increased 3.7 percent quarter-on-quarter to Rs 308 crore in Q4 FY25 from Rs 297 crore in Q3, and rose 2.6 percent from Rs 300 crore in Q4 FY24. This segment’s FY25 revenue was Rs 1,214 crore, reflecting a good 24 percent growth from Rs 978 crore in FY24. Segment’s PAT was stagnant at Rs 17 crore in Q4 FY25 and Q3 FY25, but decreased by 63 percent from Rs 46 crore in Q4 FY24. And PAT for the year decreased by 6.6 percent to Rs 84 crore in FY25 from Rs 90 crore in FY24.
About the company
JM Financial Limited provides comprehensive financial services in investment banking, mortgage lending, distressed credit, and wealth and asset management. It caters to corporates, institutions, HNIs, and retail customers in India and overseas. It also offers real estate consulting and mutual fund management.
Written by Satyajeet Mukherjee
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