5Paisa Cracks Rs 100 Crore Milestone, Profit Surges 37%

12 Jan 2024 , 09:45 AM

The company’s financial report, which showed a little 3% year-over-year increase in total income to Rs 100.3 crore for the October–December quarter of the fiscal year 2023–24 (Q3FY24), would focus attention on shares of 5Paisa.

The brokerage company posted a profit after tax of Rs 15.1 crore for the quarter, up 37% year over year but down 21% sequentially from Rs 19 crore for the quarter that ended on September 30.

Comparing the nine months that ended December 31, 2023, to the same time the previous year, 5Paisa reported a 14% YoY increase in total income, or Rs 281.9 crore. PAT for these nine months was Rs 48.7 crore, up 67% from Rs 29.2 crore in 9MFY23.

3.96 million people were registered with 5Paisa, and approximately 90% of these users were from tier 2 and tier 3 cities. During the quarter, the broking firm acquired 2.32 lakh new customers, 72% greater than the acquisition compared to the quarter gone by.

5Paisa’s retail market share decreased from 3.23% to 2.81%, a sequential drop of 13%. The management emphasized that the company’s total orders decreased by 4% QoQ, from 48.4 million at the end of the September quarter to 46.6 million in Q3FY2.

Furthermore, the average daily turnover increased from Rs 3.62 lakh crore to Rs 3.69 lakh crore in Q3FY24 compared to the same period last year.

‘With all our efforts focused on increasing revenue, improving cost efficiency, and on product development, we have succeeded in achieving the highest ever revenue Q3FY24 of Rs 100.3 crore, up 20% YoY, along with PAT growth 37% YoY,’ said Narayan Gangadhar, CEO of 5paisa Capital, in response to the results. In the upcoming quarters, we anticipate growing both our revenue and customer acquisition momentum.

almost the last month, the broker’s shares have increased by almost 40%, or roughly 43.40%. By contrast, over the same period, the domestic leading index Nifty 50 has gained 3.54%. 5Paisa shares settled at Rs 693.5 a share on January 11.

The discount brokerage division of IIFL Holdings, 5paisa Capital, offers investment banking, trading, and equity research services. In addition, they offer portfolio management services for mutual funds, gold bonds, fixed deposits, life insurance, and other small savings products.

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