Edelweiss Financial Services soar over 9% after Rakesh Jhunjhunwala raises stake in June quarter

Earlier this month, the firm announced that it will exit the insurance broking business by selling a 70 percent stake in Edelweiss Gallagher Insurance Brokers Ltd for Rs 307.60 crore. Gallagher, who previously held 30 percent in the business, will now be acquiring all the remaining shares, taking its stake to 100 percent, the filing added.

Meanwhile, in the March quarter, it reported a consolidated net profit of Rs 636.70 crore as against a net loss of Rs 2,281.55 crore in the year-ago same quarter. Sequentially also, there was a net loss of Rs 63 crore in the December 2020 quarter.

Total consolidated income during January-March 2021 jumped to Rs 4,480.95 crore as against Rs 1,965.87 crore in the year-ago period, Edelweiss said in a regulatory filing.

For the full financial year 2020-21, the non-banking financial company had a net profit of Rs 253.91 crore, in contrast to a loss of Rs 2,043.77 crore in 2019-20. Total income for the year rose to Rs 10,848.85 crore, against Rs 9,602.63 crore a year ago, the company said.