Shares of JM Financial Ltd plunged over 8.3% to ₹98.13 in early trade following the company’s Q3 FY25 financial results, which reported a 21.5% YoY decline in net profit. The firm posted a net profit of ₹70.5 crore, down from ₹89.8 crore in the same quarter last year.
Revenue from operations also declined 3.8% YoY to ₹209.2 crore, compared to ₹217.5 crore in Q3 FY24. The financial services group has been transitioning from an on-balance sheet model to an investor-syndicated transaction model, resulting in a significant loan book reduction from ₹7,529 crore in March 2024 to ₹4,207 crore in December 2024.
Despite the decline in profitability, cash and cash equivalents increased to ₹5,840 crore from ₹4,769 crore, while group borrowings fell from ₹16,145 crore to ₹12,143 crore. Meanwhile, gross NPA remained stable at ₹685 crore, with the provision coverage ratio for the wholesale real estate loan book improving from 54% to 93%.
As of 9:17 AM, JM Financial’s shares were trading at ₹98.13, reflecting an 8.37% decline from the previous close of ₹107.09. The stock has a market capitalization of ₹9,391 crore, a P/E ratio of 20.77, and a dividend yield of 2.03%.
