on Wednesday reported a net profit of Rs 60 crore in the quarter ended June 2022 led by higher loan disbursals. The microfinance lender had posted net loss of Rs 71 crore a year ago.
Net interest income during April-June period of 2022-23 rose to Rs 512 crore as against Rs 157 crore in same period of 2021-22, the company said in a release.
Company’s Assets Under Management (AUM), however, was lower at Rs 6,389 crore at the end of June 2022. The same was Rs 6,444 crore a year ago.
“Our consolidated disbursement for the quarter stood at Rs 1,709 crore as compared to Rs 282 crore in Q1FY22 and Rs 1,900 crore in Q4FY22,” it said.
Break-up wise, microfinance disbursement in the June quarter was Rs 1,540 crore compared to Rs 235 crore last year. However, it was lower than Rs 1,592 crore in preceding quarter ended March 2022.
“Backed by our cautious and calibrated approach in disbursement activities, we are steadily advancing towards the pre-Covid levels. We disbursed loans to clients with regular repayment cycles and healthy credit history. No disbursement was made to delinquent clients. Our average ticket size of MFI lending for the quarter stood at Rs 41,000,” it said.
HP Singh, Chairman and Managing Director of Satin Creditcare Network said the company has witnessed a very strong demand from its clients coupled with rekindled interest from the lenders and industry.
“During the period under review, despite writing off loans amounting to 5.4 per cent of on-book AUM, our gross AUM remained on similar levels as of March 2022, GNPA (gross non-performing assets) reduced to 4.3 per cent, capital adequacy remains healthy,” Singh said.
He said the company has created sufficient provisions to address any contingency in its portfolio and the P&L (Profit & Loss) stands insulated from any additional stress that may come in.
Shares of the company closed at Rs 119.05 apiece on BSE, up by 2.50 per cent.
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