The fall in net profit was primarily driven by a considerable provisioning cost of Rs 247 crore in the quarter, influenced by the uncertain macroeconomic environment and recent changes in code of conduct, the company said.
Pre-provision operating profit however rose 40% at Rs 252 crore, backed by higher earnings. Total income stood 18% higher at Rs 681 crore with net interest income rising 23% at R. 420 crore.
Its net interest margin for the quarter stood at 13.3%, up 78 basis points from 12.5% seen in the year ago quarter, despite a 25 bps reduction in lending rate in income-generating loans and a 125 bps cut in third-party product loans during the period. The company reduced rates for income generating loans by 115 bps since January 2024.
“The microfinance industry is experiencing a challenging financial year, shaped by macroeconomic uncertainties and a shifting regulatory landscape,” chief executive Sadaf Sayeed said.
-
Stock Trading
Maximise Returns by Investing in the Right Companies
-
Stock Trading
Market 104: Options Trading: Kickstart Your F&O Adventure
-
Stock Trading
Technical Analysis for Everyone – Technical Analysis Course
-
Stock Trading
Stock Markets Made Easy
-
Stock Trading
Renko Chart Patterns Made Easy
-
Stock Trading
Market 101: An Insight into Trendlines and Momentum
-
Stock Trading
Markets 102: Mastering Sentiment Indicators for Swing and Positional Trading
-
Stock Trading
Dow Theory Made Easy
-
Stock Trading
Market 103: Mastering Trends with RMI and Techno-Funda Insights
-
Stock Trading
ROC Made Easy: Master Course for ROC Stock Indicator
-
Stock Trading
Heikin Ashi Trading Tactics: Master the Art of Trading
-
Stock Trading
RSI Made Easy: RSI Trading Course
-
Stock Trading
Introduction to Technical Analysis & Candlestick Theory
Its gross loan portfolio grew by 8.3% year-on-year to Rs 12,405 crore while the borrower base grew by 4.5% to 34 lakhs. It opened 58 branches in the third quarter.
