CARE Ratings Ltd's Q4FY25 Quarter Results
- 13 May 2025
Result Summary
- CARE Ratings Ltd reported a 7.2% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Mar (Q4FY25). On a year-on-year (YoY) basis, it witnessed a growth of 14.3%.
- Its expenses for the quarter were down by 7.6% QoQ and up 19.4% YoY.
- The net profit decreased 13.4% QoQ and increased 21.8% YoY.
- The earnings per share (EPS) of CARE Ratings Ltd stood at 8 during Q4FY25.
Financial Statments for Q4FY25
| (₹ crores) | Q4FY25 | Q3FY25 | Q4FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 100.44 | 108.23 | 87.88 | -7.2% | 14.3% |
Total Expenses | 64.24 | 69.51 | 53.79 | -7.6% | 19.4% |
Profit Before Tax | 36.19 | 38.72 | 34.09 | -6.5% | 6.2% |
Tax | 11.64 | 10.35 | 13.93 | 12.5% | -16.4% |
Profit After Tax | 24.55 | 28.36 | 20.15 | -13.4% | 21.8% |
Earnings Per Share | 8.00 | 9.20 | 6.60 | -13.0% | 21.2% |
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, providing independent, professional, and timely credit opinions. The company offers a diverse range of products and services, primarily focusing on credit ratings of various types of debt instruments, including bonds and debentures. It operates within the financial sector, specifically in the credit rating industry, which plays a crucial role in the financial markets by providing investors and stakeholders with an assessment of credit risks associated with different investment opportunities. As of the latest available information, there are no specific recent major developments in the company's activities.
Revenue
In the fourth quarter of fiscal year 2025 (Q4FY25), CARE Ratings Ltd reported a total income of ₹100.44 crores. This represented a decrease of 7.2% compared to the previous quarter (Q3FY25), where the total income was ₹108.23 crores. However, on a year-over-year basis, the total income showed a significant increase of 14.3% compared to Q4FY24, when it was ₹87.88 crores. The company's revenue performance indicates variations in quarterly earnings while demonstrating a positive trend compared to the same quarter in the previous year. This change in revenue can be attributed to various factors, including market conditions and demand for credit rating services.
Profitability
CARE Ratings Ltd's profitability metrics for Q4FY25 reveal a Profit Before Tax (PBT) of ₹36.19 crores. This figure reflects a decrease of 6.5% from the previous quarter's PBT of ₹38.72 crores. Despite the quarter-over-quarter decline, the PBT increased by 6.2% compared to the same quarter last year, where it was ₹34.09 crores. The company incurred a tax expense of ₹11.64 crores in Q4FY25, which was 12.5% higher than the previous quarter but 16.4% lower than Q4FY24. Consequently, the Profit After Tax (PAT) stood at ₹24.55 crores, marking a decline of 13.4% from the previous quarter's ₹28.36 crores. Nonetheless, the PAT showed a robust year-over-year growth of 21.8% from ₹20.15 crores in Q4FY24. Earnings Per Share (EPS) for Q4FY25 was ₹8.00, experiencing a decrease of 13.0% from the preceding quarter but an increase of 21.2% from the same period last year.
Operating Metrics
The total expenses for CARE Ratings Ltd in Q4FY25 amounted to ₹64.24 crores. This was a reduction of 7.6% from Q3FY25, where the expenses were ₹69.51 crores. On a year-over-year basis, total expenses rose by 19.4% compared to Q4FY24's ₹53.79 crores. The observed decline in quarter-over-quarter expenses may be a result of operational efficiencies or cost management initiatives. Despite this quarterly reduction, the annual increase in expenses suggests potential expansion activities or increased operational costs in line with revenue growth. The financial data highlights the company's financial management in terms of aligning expenses with income fluctuations across different reporting periods.