Piramal Enterprises Aims to Increase AUM to Rs 80,000 Crore by FY25 with 15% Growth Target
Piramal Enterprises Sets Ambitious Growth Target, Aims to Reach Rs 80,000 Crore AUM by FY25
Mumbai, Jul 8 (PTI) – Piramal Enterprises, a leading non-bank lender, is gearing up for significant growth as it aims to increase its assets under management (AUM) to Rs 80,000 crore by the end of fiscal year 2025. The company’s chairman, Ajay Piramal, announced this ambitious target at the annual general meeting held on Monday.
Despite facing challenges in the legacy wholesale business, Piramal Enterprises is targeting a 15% growth rate to achieve the Rs 80,000 crore AUM goal. The company plans to reduce the share of legacy AUM to less than 10% by FY25 and less than 5% by FY26.
Currently, 70% of Piramal Enterprises’ AUM consists of retail loans, which the company sees as its primary growth driver. The chairman highlighted that the retail business recently crossed the Rs 50,000 crore milestone and is expected to continue growing.
Looking ahead, Piramal Enterprises aims to nearly double its overall AUM to Rs 1.5 lakh crore by the end of FY28. The company plans to increase the share of retail business in the overall AUM to 75% by FY28, while also focusing on expanding its wholesale 2.0 book.
In FY24, Piramal Enterprises reported a loss of Rs 1,684 crore, primarily due to provisions made towards investments in alternate investment funds. However, the company expects to recover these provisions, as evidenced by the results for the January-March quarter of FY24.
Piramal reassured shareholders that the growth business is “on track” to achieve profitability and expressed confidence in the company’s strategic direction. With a clear focus on retail loans and wholesale 2.0 business, Piramal Enterprises is poised for growth and success in the coming years.
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