CreditAccess Grameen posts highest-ever quarterly profit growth at 195%
The MFI's total income rose 31 per cent year-on-year to Rs 814.3 crore from Rs 618.6 crore in the corresponding quarter the previous year. Its net interest income increased 39.9 per cent to Rs 516.2 crore from Rs 368.9 crore in the year-ago period. However, impairment of financial instruments declined 24.7 per cent to Rs 105.4 crore from Rs 139.9 crore.
ANI
Oct 26, 2022 13:46 IST
Bengaluru (Karnataka) [India], October 26 (ANI): The country's largest non-banking financial company-micro finance institution (NBFC-MFI) -- CreditAccess Grameen -- said it posted a record 195 per cent jump in its net profit to Rs 176 crore for the quarter ended September, against Rs 59.7 crore in the year-ago period.
The MFI's total income rose 31 per cent year-on-year to Rs 814.3 crore from Rs 618.6 crore in the corresponding quarter the previous year. Its net interest income increased 39.9 per cent to Rs 516.2 crore from Rs 368.9 crore in the year-ago period. However, impairment of financial instruments declined 24.7 per cent to Rs 105.4 crore from Rs 139.9 crore.
Commenting on the strong performance, Udaya Kumar Hebbar, MD and CEO, said, "We witnessed the strongest second quarter, recording our highest quarterly PAT of Rs 176 crore. There has been healthy growth across all parameters ranging from borrower addition, disbursements, collection efficiency, asset quality, net interest margin, return ratios and traction in foreign funding. We added over 2.8 lakh borrowers during Q2 FY23 (second quarter in 2022-23) and disbursed Rs 4,375 crore, the highest-ever during the second quarter to date. Our asset quality largely normalised with 97%-98 per cent collection efficiency, and net NPA (non-performing assets) of 0.77 per cent."
The MFI said its gross loan portfolio grew 24 per cent to Rs 16,539 crore from Rs 13,333 crore in the year-ago period. Disbursements grew 12.5 per cent to Rs 4,375 crore while collection efficiency was at 97 per cent. The MFI also said it had a borrower base of 38 lakh across 1,684 branches.
The MD and CEO said, "We are extremely happy to announce that the United States International Development Finance Corporation (DFC) supported us with a $35 million ESG (environmental, social, and governance)-linked loan for up to seven years, first of its kind direct lending to an Indian MFI. Overall, in the past six months, we received sanctions of around $195 million, aiding our strategy of diversifying liability profile. Today, we have strong visibility on foreign sourcing, backed by 38 per cent share in undrawn sanctions and 19 per cent share in sanctions in the pipeline." (ANI)
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