JM Financial’s Q3FY24 consolidated net profit jumps 46% to ₹278 crore

JM Financial Ltd (JMFL) has reported a 46% year-on-year increase in its third quarter consolidated net profit, reaching ₹278 crore, due to the strong performance by segments such as investment banks, mortgage lending, and Platform AWS. However, the loan book remained almost unchanged at ₹15,111 crore as of December 2023, compared to ₹15,234 crore in December 2022.

The diversified financial services group, JMFL, saw a consolidated net profit of ₹190 crore in the same quarter of the previous year. The company operates in various sectors including Integrated Investment Bank (IB), Mortgage Lending, Alternative and Distressed Credit, and Platform AWS.

Among the segments, the net profit from the Integrated Investment Bank saw a 59% year-on-year increase to ₹159 crore, while the net profit from mortgage lending increased by 16% to ₹49 crore. Additionally, the net profit from Alternative & Distressed Credit and Platform AWS rose sharply by 154% and 145% respectively, contributing to ₹15 crore and ₹26 crore.

Vishal Kampani, Non-executive Vice Chairman at JM Financial Limited, highlighted the company’s achievements by stating, “Our Integrated Investment Bank segment experienced continued momentum… The retail mortgage lending segment has demonstrated strong growth and has expanded to 112 branches.”

Kampani also mentioned that the company will continue to invest in the retail mortgage business to diversify the loan book, despite facing delays in some of the large resolutions in the Alternative and Distressed Credit business.

Furthermore, JMFL continues to invest in the physical and digital infrastructure in the Platform AWS businesses, with the mutual fund business crossing ₹5,000 crore in assets under management in January 2024, including an equity AUM of ₹2,928 crore.

Despite the challenges, JMFL shows promising growth in its various business segments, providing a positive outlook for the company’s future performance.