Highlights for quarter and year ended December 31, 2023:

• Income from operations up 11.6% for the quarter, and 13.4% for the year
  
• Profit before tax up 34.7% in the quarter, and 16.9% for the year
• Final dividend of Rs 28 per share recommended. Total dividend of Rs 54 per share for the year 2023 vs Rs 48 per share previous year

The Board of Directors of CRISIL Ltd, at its meeting today approved the audited financial results for the quarter and year ended December 31, 2023.

CRISIL's consolidated income from operations for the quarter ended December 31, 2023, rose 11.6% to Rs 917.7 crore, compared with Rs 822.3 crore in the corresponding quarter of the previous year. Consolidated total income for the quarter ended December 31, 2023, was up 13.4% to Rs 953.6 crore, compared with Rs 840.6 crore in the corresponding quarter of the previous year.

Profit before tax for the quarter ended December 31, 2023, rose 34.7% to Rs 278.8 crore, compared with Rs 207.0 crore in the corresponding quarter of the previous year. Profit before tax for the quarter ended December 31, 2023 includes a one-off gain of Rs 29.4 crore due to sharp devaluation of the Argentinian peso in December.

Profit after tax for the quarter ended December 31, 2023, was up 33.0% to Rs 210.1 crore, compared with Rs 158.0 crore in the corresponding quarter of the previous year.

CRISIL's consolidated income from operations for the year ended December 31, 2023, rose 13.4% to Rs 3, 139.5 crore, compared with Rs 2,768.7 crore in the corresponding period of the previous year. Consolidated total income for the year ended December 31, 2023, was up 11.6% to Rs 3,246.4 crore, compared with Rs 2,907.8 crore in the corresponding period of the previous year.

Profit before tax for the year ended December 31, 2023, increased 16.9% to Rs 867.7 crore, compared with Rs 7 42.4 crore in the corresponding period of the previous year. Profit after tax for the year ended December 31, 2023, increased 16.7% to Rs 658.4 crore, compared with Rs 564.4 crore in the corresponding period of the previous year.

In 2022, a rise in the US dollar against the rupee and the British pound had increased profitability, including Rs 30.1 crore from revaluation of a subsidiary loan.

For the year ended December 31, 2023, the company paid three interim dividends totalling Rs 26 per equity share of face value of Re 1 each. The Board of Directors has recommended a final dividend of Rs 28 per share (of Re 1 face value). The total dividend for the year works out to Rs 54 per share.

Says Amish Mehta, Managing Director & CEO, CRISIL, "The global macroeconomic situation remained complex in 2023. World growth was higher than expected and inflation, despite peaking, was above target for many central banks. India showed resilience and emerged as the world's fastest-growing major economy. We saw growth across our businesses despite macro uncertainties and cost pressure on global clients. In 2024, the expected soft landing of the global economy could have a bearing on discretionary spends by global clients. We remain focused on customer centricity and delivering value to all our stakeholders through investments in technology, talent and new solutions."

After strong growth in the corporate bond market during the first half of 2023, issuances declined in the second half as yields rose. Bank credit growth was steady, supported by both retail and services. CRISIL Ratings maintained its leadership in corporate bond ratings given investor preference for best-in-class ratings. Overall, revenue was up 15.5% on-year in the quarter, and 16.8% in 2023.

Global Analytical Center (GAC) continued to drive surveillance support across the analytical practices of S&P Ratings, and partnered on data and technology transformation programs.

The Ratings segment grew 18.3% in the quarter and 16.4% for the year ended December 31, 2023.

Global Research & Risk Solutions (GR&RS) saw traction in research and lending solutions. Global Benchmarking Analytics (GBA) saw momentum in corporate and investment banking (CIB), driven by the emphasis on client engagement and product innovation.

Market Intelligence & Analytics (Ml&A) witnessed momentum in credit, risk and consulting offerings.

The research, analytics and solutions segment grew 9.8% in the quarter and 12.4% in year ended December 31, 2023.

CRISIL was named among the world's top 50 organisations in the Chartis RiskTech100® 2024 list, winning an award in the Model Validation category for the second consecutive year.

CRISIL was certified a Great Workplace™ for the fourth consecutive time by the Great Place to Work® Institute and named in India Workplace Equality Index (IWEI) 2023 in the bronze category.

Franchise activity continued well during the quarter. CRISIL Ratings hosted the eighth edition of its NBFC seminar in Mumbai. The business conducted webinars on Ratings Round-Up, and the consumer durables, gas distribution, sugar, commercial real estate, agrochemicals and aluminium sectors. Ml&A hosted the fourth edition of its CRISIL India Infrastructure Conclave, titled 'Building and Financing Sustainable Infrastructure'. The business held a 'Meet the Expert' on ESG, and hosted webinars on agriculture and livelihood, and on state finances.

GR&RS published whitepapers and other reports covering themes such as leveraged lending, Basel Ill reforms and FRTB framework, US commercial real estate lending, and the growing impact of Generative Al in finance. GBA hosted the 20th Annual Competitive Challenges Conference in Boston, with 'Adapting to Change: Strategies for the Agile Asset Manager' as the theme. GBA published an article on treasury markets in a leading periodical in Germany, and biogs on Al and data analytics, asset management and digital sustainability.

During the quarter, CRISIL Foundation's financial literacy efforts covered over 2 million rural people in 14 states and 4 Union Territories. The Foundation continues to be the leading implementation partner of the Reserve Bank of India's MoneyWise Centres of Financial Literacy (CFL) programme.