5paisa Capital's Q3 2024 Net Profit Surges By 37% YoY, Yet Shares Experience Decline

In the third quarter of the fiscal year 2024 (Q3FY24), 5paisa Capital, a stockbroking company, reported a 37 per cent year-on-year increase in its Profit After Tax (PAT), reaching Rs 15.1 crore for the period ending in December 2023. This marked a significant rise from Rs 11 crore recorded in the corresponding period the previous year. 

Amidst the Nifty reaching an unprecedented all-time high, the sector observed remarkable growth, witnessing an addition of over 96 lakh demat accounts, as stated in an official release by the company.

During the reporting quarter, the company's consolidated income surged by 20 per cent year-on-year, reaching Rs 100 crore, compared to Rs 83.8 crore in the corresponding period the previous year. The fourth quarter of the year saw a Profit Before Tax of Rs 20.2 crore, indicating a 37 per cent increase.

5paisa Capital reported a significant increase in client acquisition, with 2.32 lakh new customers added, reflecting a 71 per cent sequential growth. The total customer base reached 39.6 lakhs, contributing to a market share of 2.4 per cent in incremental client acquisitions, showcasing a 63 per cent sequential increase. The company's total average daily turnover experienced an 80 per cent year-on-year increase, reaching Rs. 3.70 trillion.

Narayan Gangadhar, CEO of 5paisa Capital Ltd, expressed confidence in sustaining the momentum of customer acquisitions and revenue growth in the upcoming quarters. For the nine months of FY24, revenue and profit increased by 14 per cent and 67 per cent year-on-year, reaching Rs 282 crore and Rs 48.7 crore, respectively.

In the third quarter alone, the company added 2.32 lakh new clients, bringing the total registered customer base to 3.96 million.