Piramal net profit up 8 percent to Rs 534 crore in Q1

New Delhi: Piramal Enterprises on Friday reported a 7.71 per cent rise in its consolidated net profit to Rs 533.79 crore for the quarter ended on June 30, 2021.

The company had posted a net profit of Rs 495.56 crore for the corresponding period of the previous fiscal, Piramal Enterprises said in a regulatory filing.

Consolidated revenue from operations of the company stood at Rs 2,908.68 crore for the quarter under consideration against Rs 2,937.34 crore for the same period a year ago, it added.

"Despite the impact of the second wave of Covid-19, we have delivered resilient performance during the quarter with revenues at INR 2,909 crores, net profit YoY growth by 8% to INR 534 crores. We continue to maintain a strong balance sheet, with net debt-to-equity ratio at 0.8x," Piramal Enterprises Chairman Ajay Piramal said.

In financial services, the company's resolution plan for DHFL''s acquisition received NCLT''s approval in June 2021. It is on track with the Monitoring Committee mandate for completion of this transaction within 90 days from NCLT approval, he added.

"After successfully going through the recent consolidation phase, we are now transitioning from a wholesale-led to a well-diversified Financial Services business," Piramal said.

The company's pharma business continues to deliver robust performance during the quarter, with 31 per cent year-on-year revenue growth, indicating the strength of its business model, he added.

"In addition, post the capital raise from the Carlyle Group, we have accelerated on our two-pronged strategic growth trajectory through investments in both organic and inorganic initiatives," Piramal said.

While the company remains cautiously optimistic for FY22, it sees a strong runway for growth across both its businesses, he added.

"Our immediate focus will be to effectively integrate DHFL with our Financial Services organization. Pursuant to which, we will be better positioned to announce our plan to create two separate listed entities in Financial Services and Pharma," Piramal said.

Read also: Piramal Pharma completes acquisition of Hemmo Pharma for Rs 775 crore