Posted on April 15, 2025, by Niftynews
Jio Financial share price rallied over 2% in intraday trade on April 15, 2025, after the Reliance Group NBFC arm announced it would consider its first-ever dividend. This major development is scheduled to be discussed at the company’s board meeting on April 17, alongside the announcement of its audited Q4 and FY25 financial results.
This move has reignited investor interest in the recently listed financial giant, suggesting a growing confidence in the company’s operational strength and future prospects.
Dividend Buzz: A Major Milestone for Jio Financial
In a regulatory filing, Jio Financial confirmed that its board would:
“…consider and recommend dividend on equity shares of the Company for the financial year ended March 31, 2025.”
If approved, this would mark the company’s first dividend since being spun off from Reliance Industries, signaling that it is moving toward greater financial maturity and investor reward.
A dividend announcement is generally viewed as a sign of robust cash flows, especially for NBFCs that have weathered regulatory tightening and margin pressure in recent years.
Q3 Financial Snapshot: Stable But Soft Quarter
The company reported flat year-on-year growth in net profit for the quarter ending December 2024. Its consolidated net profit stood at ₹295 crore, nearly unchanged from ₹294 crore in the same quarter last fiscal.
However, this was a significant drop from the ₹689 crore it earned in Q2 FY25, indicating some short-term margin compression or increased provisioning/expenses.
Key Financial Highlights:
- Q3 FY25 Net Profit: ₹295 crore
- Q2 FY25 Net Profit: ₹689 crore
- Q3 FY24 Net Profit: ₹294 crore
- Total Income: ₹449 crore (↑8.4% YoY)
- Total Expenses: ₹131 crore (↑32.3% YoY)
- 9M FY25 Net Profit: ₹1,296 crore (vs ₹1,294 crore YoY)
While overall growth has remained steady, the company has shown resilience in sustaining profitability even as it continues to invest in scaling its financial services operations.
Technical Analysis: ₹235 Resistance Is Key
Experts believe the stock is poised for a breakout if it crosses key resistance levels.
Anshul Jain, Head of Research at Lakshmishree Investment and Securities, noted:
“The stock has corrected nearly 49% in the last 10 months and is now trading in a rectangle pattern between ₹200 and ₹235. A breakout above ₹235 could trigger a rally to ₹262, with further momentum pushing it toward ₹298.”
He emphasized the need for strong volumes to confirm institutional participation in the breakout.
Rajesh Bhosale, Equity Analyst at Angel One, added:
“The stock has bounced back to its 50-day exponential moving average (DEMA) near ₹230. A close above this level could fuel a move toward the 89-day EMA at ₹250.”
Support for the stock lies near ₹220, making it a key level for traders to monitor.
Business Model and Future Strategy
Jio Financial, since its separation from Reliance Industries, has built a diverse portfolio of financial services. It operates across:
Investment and Financing
Payment Banking
Payment Gateway & Aggregation
Insurance Broking
This multi-vertical approach is expected to help the company tap into India’s growing fintech demand and digitally underserved segments. Analysts also expect new product rollouts and digital partnerships to accelerate in FY26.
What Analysts and Investors Should Watch
The April 17 board meeting could be a turning point for Jio Financial Services. A positive dividend announcement paired with strong financials may catalyze institutional buying and improved sentiment around the stock.
A breakout above ₹235 on strong volumes could signify the end of the stock’s consolidation phase, offering short- to medium-term upside potential.
Meanwhile, long-term investors will be watching for:
- Expansion in retail lending
- Cross-synergies with Jio platforms
- Profit margin trends amid rising costs
- Strategic alliances in the insurance or payments space
Final Thoughts
With a dividend on the horizon and technical signals pointing to a potential breakout, Jio Financial share price is once again in the limelight. Investors should keep a close eye on April 17 for updates on the dividend and year-end financial performance.
Whether you’re a value investor or a technical trader, Jio Financial is presenting an intriguing mix of growth potential, market buzz, and a pivotal moment in its corporate journey.
