Equitas Holdings Ltd today reported an over five-fold jump in its consolidated net profit at Rs 34.89 crore in the fourth quarter ended March 2018.
Company's net profit in January-March quarter of 2016-17 was at Rs 6.91 crore. In the third quarter ended December of fiscal 2017-18, the company had reported a net loss of Rs 30.05 crore.
Total income in the March quarter grew to Rs 473.65 crore from Rs 398.75 crore in the year-ago period, the company said in a regulatory filing.
"Returns improved in the fourth quarter with a profit after tax (PAT) of Rs 34.9 crore as operating expenses (opex) stabilises," the company said.
For full year 2017-18, net profit however came down by over 80 per cent to Rs 31.35 crore as against Rs 159.37 crore in 2016-17. Income during the year moved up to Rs 1,787.41 crore from Rs 1,556.55 crore.
"Full year FY18 profitability was affected by additional provision of Rs 101 crore, made during the year to provide for impacted micro finance portfolio," Equitas Holdings said.
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The provisions and write-offs during March quarter 2018 were Rs 13.91 crore, down from Rs 35.96 crore by same period in 2017. For the full year, it was higher at Rs 171.92 crore as against Rs 102.91 crore as on March 31, 2017.
The parent company of Equitas Small Finance Bank (SFB) said its non-micro finance advances in the year grew by 53 per cent year on year driven by strong traction in new products.
"New products like business loans, agri loans, loan against gold, small and mid corporate loans and new light commercial vehicle (LCV) finance make-up more than 15 per cent of total advances."
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