Equitas Small Finance Bank Q3 results: Net profit up 18% on interest income growth
The small finance financial institution had reported a profit after tax of Rs 94 crore in the identical quarter of the earlier fiscal.
“We had a 26 per cent growth in our NII (net interest income) and our cost to income ratio has come down 56 per cent from 66 per cent last year.” These each helped in enhancing the highest line and decreasing the expense line,” the lender’s Managing Director and CEO P N Vasudevan stated.
Net interest income stood at Rs 484 crore as in opposition to Rs 384 crore within the year-ago interval. Net interest margin (NIM) was at 8.47 per cent.
Gross NPA ratio stood at 2.23 per cent as in comparison with 2.86 per cent. Net NPAs stood at 0.65 per cent as in opposition to 1.73 per cent.
The financial institution, in a launch, stated it has not labeled any non-performing property (NPAs) since August 31, 2020 on the idea of an interim order of the Supreme Court.
If the financial institution had labeled borrower’s accounts as NPA after August 31, 2020, GNPA ratio and internet NPA ratio would have been 4.16 per cent and 1.71 per cent respectively, it stated.
Pending the choice of the court docket, in respect of those accounts, it made a contingent provision (together with on interest accrued) of Rs 180.28 crore, the discharge stated.
The one-time restructuring ebook stands at Rs 340 crore.
Its advances grew 19 per cent to Rs 17,373 crore. The financial institution stated 79.21 per cent of its advances is secured loans. Microfinance loans represent 20 per cent, with no publicity in Assam and West Bengal.
Its assortment and billing effectivity for the month of December 2020 stood at 105.36 per cent and 88.73 per cent, respectively.
The financial institution’s scrip closed at Rs 39.90 apiece, up 1.66 per cent, on BSE.
