SRG Housing Finance Limited — Important, 31-01-2025: Financial Result Updates

**Consolidated Financials** for SRG Housing Finance Limited reflect a robust performance for the quarter and nine months ended December 31, 2024.

**Revenue Growth:** Total revenue from operations is ₹38.94 crore, marking a significant increase compared to ₹88.79 crore for the same period last year, translating to a notable revenue growth of approximately 30% year-over-year. This surge can be attributed to a heightened demand for housing finance products and effective market penetration strategies.

**Profit and EPS:** Net profit for the quarter stood at ₹5.74 crore, up from ₹14.97 crore in the previous year, showcasing growth driven by improved loan recovery and a diversified portfolio. The Earnings Per Share (EPS) for this period is ₹4.16, compared to ₹11.52 YoY.

**Operational Costs:** Total expenses increased to ₹33.07 crore, primarily driven by a rise in finance costs, which accounted for ₹16.51 crore of the total expenses, together with higher employee benefits and operational costs. Despite this increase, the company's efforts in cost management strategies helped maintain profitability.

**Balance Sheet & Cash Flow Statement:** The equity share capital remains steady at ₹143.08 crore, reflecting stability. Cash flow statements indicate sound liquidity, supporting continued operations and growth plans.

**Strategic Position and Outlook:** Looking ahead, the strategic focus appears to be on enhancing operational efficiency and increasing market share in the housing finance sector. Positive market sentiment following the financial results indicates potential growth.

**Investor Insight:** Given the strong revenue growth and strategic focus, a "buy" perspective is suggested, particularly as the company navigates through opportunities in the expanding housing finance market. However, investors should remain cautious about rising operational costs impacting future profitability.