Crisil profit jumps 89%

MUMBAI: Credit information firm Crisil on Monday reported an increase of 73% in total income for the financial year ended December 31, 2007.

The company said it registered total income of Rs270.88 crore, up from Rs156.85 crore in the previous year.

Profit after tax for 2007 jumped 89% to Rs70.67 crore from Rs37.38 crore in 2006, Crisil said, adding that the board of directors have recommended a dividend of 250% for the year.

The company said strong growth in the structured finance market and in borrowings by the financial sector helped propel revenue growth at its ratings business.

Moreover, the RBI’s guidelines on the use of external ratings for computation of capital under Basel II norms opened up the bank loan rating market further.

The research division too posted strong growth in revenues and launched research products on real estate, infrastructure, airlines, domestic freight transportation services, education services, and contract research. Crisil also said it had set up a separate equities team for IPO grading after Sebi made it mandatory for IPOs to be graded.

Crisil said consolidated total income, which includes results of UK and US subsidiaries and other joint ventures stood, at Rs413.49 crore, up $1% from Rs294.03 crore in the previous year.