CARE Ratings' Q2 FY 2025-26 Quarterly Results

Result Summary

• CARE Ratings Ltd reported a 38.4% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 15.3%.
• Its expenses for the quarter were up by 2.7% QoQ and 10.8% YoY.
• The net profit increased 115.9% QoQ and increased 22.0% YoY.
• The earnings per share (EPS) of CARE Ratings Ltd stood at 18.81 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

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Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

CARE Ratings Ltd is a prominent credit rating agency in India that offers a wide range of products and services related to credit assessment and research. The company operates primarily in the financial services sector, providing credit ratings, research, risk, and advisory services. CARE Ratings plays a crucial role in the financial markets by evaluating the creditworthiness of various financial instruments and corporate entities. As of the latest available data, there are no specific recent major developments provided for CARE Ratings Ltd.

Revenue

In the second quarter of fiscal year 2026 (Q2FY26), CARE Ratings Ltd recorded a total income of ₹148.95 crores. This represents a significant increase of 38.4% from the previous quarter (Q1FY26), where the total income was ₹107.60 crores. When compared to the same quarter in the previous fiscal year (Q2FY25), the total income has increased by 15.3%, up from ₹129.23 crores. This growth in revenue is indicative of the company's capacity to enhance its financial inflow on both a quarterly and annual basis.

Profitability

CARE Ratings Ltd demonstrated a strong profitability performance in Q2FY26 with a profit before tax (PBT) of ₹76.91 crores. This marks an impressive rise of 105.4% from the previous quarter (Q1FY26), where PBT was ₹37.44 crores. Year-over-year, the PBT increased by 19.7% from ₹64.23 crores in Q2FY25. The company also reported a profit after tax (PAT) of ₹57.21 crores in Q2FY26, which is a 115.9% increase from Q1FY26's ₹26.50 crores and a 22.0% increase from Q2FY25's ₹46.88 crores. This growth in profitability is reflected in the earnings per share (EPS), which rose to ₹18.81 in Q2FY26, marking a 119.7% increase from Q1FY26 and a 22.5% increase from Q2FY25.

Operating Metrics

The total expenses for CARE Ratings Ltd in Q2FY26 were ₹72.03 crores, which is a modest increase of 2.7% from the previous quarter (Q1FY26) where expenses were ₹70.17 crores. Year-over-year, total expenses rose by 10.8% from ₹64.99 crores in Q2FY25. The tax expense in Q2FY26 was ₹19.70 crores, which increased by 80.1% from Q1FY26's ₹10.94 crores and by 13.5% from Q2FY25's ₹17.35 crores. These operating metrics indicate the company's ongoing expense management and tax obligations, which contributed to the overall financial performance during the period under review.