Shares of Jio Financial Services, part of the Reliance group, experienced a notable uptick of 1.5% in the early hours of trading on Monday, April 21. This surge follows the release of the company’s fourth-quarter results for the financial year 2024-25 (Q4 FY25), marking a significant milestone with their first-ever dividend announcement.
Strong Financial Performance
In the latest quarter, Jio Financial reported a net profit of ₹316 crore, reflecting a 1.76% increase year-on-year compared to ₹310.63 crore from the same period last year. This shows impressive growth, especially considering the 7% quarter-on-quarter increase from ₹294.7 crore in the previous quarter.
- Net Profit: ₹316 crore (Q4 FY25)
- YoY Growth: 1.76%
- QoQ Growth: 7%
Revenue Insights
While the company faced a 4.5% dip in net interest income (NII), which fell to ₹268.09 crore from ₹280.74 crore in the previous year, revenue from operations soared by 18%, reaching ₹493.24 crore. The pre-provision operating profit also saw an impressive rise of 18%, totaling ₹374 crore.
Assets Under Management on the Rise
By the end of March 31, 2025, Jio Financial’s assets under management (AUM) had climbed to ₹10,053 crore, substantially up from ₹173 crore recorded just a year earlier. This growth underscores the company’s strategic expansion and financial health.
First Dividend Announcement
In a landmark move, Jio Financial declared its inaugural dividend, with the Board recommending a payment of ₹0.50 per equity share of a face value of ₹10. This decision is seen as a positive indicator of the company’s profitability and commitment to returning value to its shareholders.
Stock Performance and Trading Insights
Jio Financial shares reached a peak of ₹250.25 during trading, reflecting a gain of 1.5% from the previous closing price of ₹246.45. This marks the fifth consecutive day of upward movement for the stock, indicating strong investor interest.
Anshul Jain, Head of Research at Lakshmishree Investment, noted that Jio Financial has exited a bullish rectangle pattern at ₹232, suggesting a potential target of ₹298. He mentioned that while the stock might encounter some resistance at ₹262, it continues to consolidate, setting the stage for further gains.
Conclusion
As of 10:05 AM, Jio Financial’s share price stood at ₹247, reflecting a slight increase of 0.22% on the BSE. This positive momentum, combined with strong financial results and the first dividend announcement, positions Jio Financial as a compelling option for both traders and long-term investors alike.
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