ANI
14 Aug 2019, 20:04 GMT+10
Mumbai (Maharashtra) [India], Aug 14 (ANI): Diversified financial services firm Edelweiss said on Wednesday its consolidated profit after tax (PAT) fell to Rs 132 crore during April to June from Rs 264 crore in Q1 FY19 due to the economic slowdown and liquidity crunch facing several sectors.
At the same time, total revenue moved up to Rs 2,546 crore in Q1 FY20 from Rs 2,481 crore in the corresponding period of the previous year.
"The current economic slowdown is not confined to just one sector but has impacted virtually all areas of the economy. This is evident from the results of many companies this season," said Chairman and CEO Rashesh Shah.
"While we expect H1 FY20 to be muted, we are hoping that H2 FY20 will be better with signs of an easing liquidity environment with steps taken by the Reserve Bank of India and the government leading to an expected economic recovery, although it may take some time. In these challenging times, what has helped us is our diversified business model," he said in a statement.
Edelweiss' credit business had a muted first fiscal quarter due to higher liquidity management and higher credit costs. At the end of Q1 FY20, retail credit book was Rs 16,981 crore and corporate credit book was Rs 16,987 crore.
Total credit book including distressed credit stood at Rs 42,599 crore at the end of Q1 FY20. Gross non-performing assets (NPAs) were at 2.33 per cent and net NPAs at 1.24 per cent.
The distressed credit business had capital employed of Rs 8,631 crore and recoveries stood at Rs 1,076 crore for Q1 FY20. Edelweiss ARC continues to be the largest asset reconstruction company in the country.
In the advisory business, Edelweiss is planning an investment round of up to 200 million dollars (about Rs 1,400 crore). The company's assets under administration of wealth management business grew to Rs 1.06 lakh crore at the end of Q1 FY20 while the asset management business stood at Rs 36,300 crore.
In another statement, Edelweiss Group said that US-based Kora Management will be investing up to 125 million dollars (about Rs 875 crore) in the group.
"Our customers will benefit immensely from Kora's acumen in technology and financial services across emerging markets, and their investment will help us scale our businesses in a competitive market environment," said Shah. (ANI)
Get a daily dose of Belgium Sun news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Belgium Sun.
More InformationCanada recently voted at the United Nations for the establishment of a Palestinian state. At the same time, Canada reiterated ...
CO WATERFORD, Ireland - Eight men from Eastern Europe have been found hidden on a bulk cargo ship travelling from ...
LONDON - U.S. President Donald Trump accused Canadian Prime Minister Justin Trudeau of being "two-faced" after Trudeau and other NATO ...
Three constitutional experts on Wednesday bolstered Democrats' efforts to impeach Donald Trump by saying the president's actions seeking foreign interference ...
London - Jurgen Klopp says he does not care about being top of the Premier League at Christmas as he ...
LONDON - Britons vote next Thursday in the country's third general election in under four years, with pollsters and politicians ...
TEHRAN (Tasnim) - China Friday said it had taken 'reciprocal' measures against US diplomats in the country, who will have ...
HYDERABAD, India - Four men accused of the rape and murder of a 27-year old woman veterinarian in Hyderabad, India ...
Canada recently voted at the United Nations for the establishment of a Palestinian state. At the same time, Canada reiterated ...
APIA, SAMOA, Pacific Ocean - UN teams are on the ground in Samoa as the country combats a deadly measles ...
PORTLAND, Oregon - Like many Americans, Aaron Cole and his wife had been able to save up a nest egg ...
MELBOURNE, Victoria, Australia - Three people have been charged in relation to Australia's largest ever onshore methamphetamine seizure, worth more ...