The Reliance Group’s newest publicly-listed entity Jio Financial Services (JFS) saw a 2X sequential growth in its consolidated profit after tax (PAT) to INR 668.2 Cr in the September quarter (Q2) of the financial year 2023-24 (FY24).

The fintech player had reported a PAT of INR 331.9 Cr in Q1 FY24.

JFS’ operating revenue also increased over 61% to INR 608 Cr in Q2 FY24 from INR 414.1 Cr in the prior June quarter.

The company’s dividend income of INR 216.8 Cr was the single biggest contributor to its revenue during the period, while JFS also earned INR 186.1 Cr as interest income.

JFS was demerged from Reliance Industries Limited (RIL) in July this year and was publicly listed at a discount in August. 

The financial services business of RIL was demerged, transferred and vested into JFS with effect from March 31, 2023. “Accordingly, there are no consolidated results for the corresponding quarter and half year for the previous period and hence the same has not been disclosed,” the company said.

JFS provides services across payments, insurance, and asset management business segments in India, competing with most fintech players including Paytm, PhonePe, PB Fintech, Zerodha, and Groww, besides other prominent NBFCs and banking majors.

In Q2 FY24, JFS spent INR 71.4 Cr on total expenses, compared to INR 53.8 in the previous quarter, in which the company’s finance cost turned zero in the reported period.

On the other hand, its employee benefit expenses jumped to INR 31.2 Cr in the September quarter from INR 11.7 Cr in the June quarter.

In the half year ended September 30, 2023, JFS’ PAT stood at INR 1,000.1 Cr on a revenue of INR 1,022.2 Cr. 

This is in sharp contrast with its FY23 ending with INR 31.2 Cr in PAT on total revenue of INR 44.8 Cr.

In July this year, JFS also signed a joint venture (JV) with asset management giant BlackRock to enter India’s mutual fund industry.

Shares of JFS ended Monday’s trading session marginally higher at INR 224.85 on the NSE.