Religare Enterprises Announced Fourth Quarter Results

Religare Enterprises is the holding company for one of India’s leading diversified financial services groups. It is an emerging markets financial services group. The company offers a wide array of products and services including broking, insurance, asset management, lending solutions, investment banking and wealth management. As a group, Religare caters to almost every segment of the market from mass retail to affluent, HNIs, UHNIs, mid-size corporates, SMEs to large corporates and institutions. The group has a presence across around 1,700 locations in India and also has an international footprint beyond India through its Capital Markets & Global Asset Management businesses.

Religare recently announced fourth quarter FY15 and annual FY15 results. The total income from operations rose by 22.3 per cent in FY15 compared to FY14 to Rs 4087 crore than Rs 3342 crore as company focused on strengthening acquisition capabilities paying off with over 38,000 new customers being on boarded during FY15. The total expenses increased to Rs 25.8 per cent during the year mainly because of increased in employee cost, depreciation and other expenses by 24.77 per cent,8.37 per cent and 27.11 per cent respectively. 

The EBITDA increased to Rs 2074 crore than Rs 1746 crore rose by 18.75 per cent, EBITDA margin decreased by 151 basis points to 50.75 per cent. The other income decreased by 22.48 per cent, finance cost increased by 4.64 per cent, tax expenses increased by 5.26 per cent Y-o-Y basis. The company managed to increase the net profit to Rs 154 crore in FY15 compared to loss of Rs 69 crore in FY14 as company has written over 65,000 new policies in FY15.

The fourth quarter performance of the company was satisfactory, the net income from operations increased by 34.29 per cent to Rs 1179 crore in March quarter FY15 compared to Rs 878 crore in March quarter FY14 due to increase in delivery volumes in its retail broking business during Q4FY15. Total expenses increased by 51.86 per cent to Rs 625 crore than Rs 412 crore during the same period. Total expenses increased due to increase in employee cost and other expenses by 24.77 per cent and 31.24 per cent respectively. The depreciation decreased by 120.67 per cent as company reduced its fixed assets during the same period.

The EBITDA increased by 35.63 per cent to Rs 564 crore in Q4FY15 compared to Rs 416 crore in FY14. EBITDA margin increased by 47 basis points to 47.85 per cent. The other income decreased by 105.49 per cent, finance cost increased by 7.3 per cent, tax expenses decreased by 25.95 per cent. The net profit reduced to Rs 49 crore in Q4FY15 compared to Rs 67 crore in Q4FY14, down by 25.8 per cent.

The company won ‘Excellence in People Development’ award at the 2nd annual HR Excellence Forum & Awards, 2015 organized by Conference Asia. The shareholding pattern changed in Q4FY15, the FII holdings reduced by 14 basis points to 15.2 per cent and DII holdings reduced by 1 basis point to 0.9 per cent.