Shriram Finance Q3: Profit Dips 29%, Asset Quality Improves, NII Beats Estimates

• Shriram Finance reported a 29.4% year-on-year decline in net profit to ₹2,521 crore for Q3, down from ₹3,570 crore.
• Despite the profit fall, the reported net profit surpassed CNBC-TV18's poll estimate of ₹2,440 crore.
• Net interest income (NII) increased by 17.6% year-on-year to ₹6,574 crore, exceeding the ₹6,498 crore poll forecast.
• Asset quality improved marginally, with gross NPA ratio easing to 4.54% and net NPA ratio declining to 2.38% QoQ.
• The provision coverage ratio also saw an improvement, rising to 48.77% from 46.70% quarter-on-quarter.

Why It Matters: Shriram Finance's Q3 profit fell, but NII and asset quality improved, beating analyst expectations.