Page 54 - Crisil Annual Report 2023

b) Standalone operations
Total income from the Company’s standalone operations for 2023 was C 2,121.62 crore compared with C 1,716.95 crore in the previous financial year. Overall expenses were C 1,358.24 crore as against C 1,275.09 crore in the previous financial year. Profit before tax was C 763.38 crore as against C 441.86 crore in the previous financial year. Profit after tax was C 668.26 crore as against C 370.51 crore in the previous financial year.
A detailed analysis of the performance, consolidated as well as standalone, is included in the Management Discussion and Analysis Report, which forms part of the Annual Report.
Dividend
The Directors recommend for approval of the members at the Annual General Meeting to be held on April 16, 2024,
Trend in share capital during the year:
Capital at the beginning of the year, i.e., January 1, 2023 Allotment of shares to employees on February 17, 2023 Allotment of shares to employees on April 18, 2023 Allotment of shares to employees on July 18, 2023 Allotment of shares to employees on November 7, 2023 Capital at the end of the year, i.e., as at December 31, 2023
Segment-wise results
The Company has identified two business segments, in line with the Indian Accounting Standard on Operating Segment (Ind AS-108), comprising: (i) Ratings services, and (ii) Research, Analytics and Solutions. The audited financial results of these segments are provided as part of the financial statements.
Review of operations
Ratings services
Highlights
• Announced 1,200+ new bank loan ratings (BLRs); has total active ratings outstanding for ~7,000 companies
• Strengthened leadership position in the corporate bond market, backed by preference for quality ratings among both investors and issuers
• Maintained sharp focus on analytical rigour, ensuring best- in-class quality of ratings
• Launched a series of high-profile outreach initiatives during the year that were extensively covered by the media and well appreciated by stakeholders
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Integrity Insight Impact
payment of final dividend of C 28 per equity share of face value of C 1 each for the financial year under review. During the year, the Company paid three interim dividends — first interim dividend of C 7, second interim dividend of C 8 and third interim dividend of C 11 per equity share. Hence, total dividend will be C 54 per share in 2023 vis-à-vis total dividend of C 48 per share in the previous financial year.
Increase in issued, subscribed and paid-up equity share capital
During the financial year, the Company issued and allotted 49,561 equity shares to eligible employees on exercise of options granted under the employee stock option plan of the Company. Hence, at the end of the year, CRISIL’s issued, subscribed and paid-up capital was 73,113,605 equity shares of C 1 each.
- 73,064,044
12,830 73,076,874
19,115 73,095,989
10,373 73,106,362
7,243 73,113,605
- 73,113,605
The ratings industry sustained its growth momentum in 2023, backed by (i) increase in on-year bond market issuances, albeit which turned somewhat sluggish during the second half and (ii) a steady growth in bank credit.
With easing bond yields and inflation, corporate bond issuances surged over 90% on-year in the first half of the year, supporting growth in the bond rating segment. Growth in the first half was also supported by a large one-time issuance from a leading housing finance company, before its merger with a bank. However, the second half saw a decline in bond issuances with increasing geopolitical uncertainties and the consequent hardening of bond yields. Overall, 2023 still saw a healthy over 25% on-year growth in the rated bond quantum.
Further, bank credit grew 15.6% in 2023. The retail credit at 17.7% and services credit growth (including credit to financial services sector) at 19.6%, supported growth of the BLR segment. However, credit growth to large corporates (at 6.5%) tapered, especially in the second half of the year. Reflecting the credit growth, the new and enhanced BLR quantum across credit rating agencies (CRAs) saw an on-year increase of over 25% in 2023. The number of companies with
Particulars
No. of shares allotted
Cumulative outstanding capital (no. of shares with face value of J 1 each)
Annual Report 2023