Mortgage lender Dewan Housing Finance (DHFL) expects a five-fold jump in small and medium enterprises (SME) loans by 2018 as part of its business diversification plan.
"With the focussed approach, we expect our SME loan portfolio to increase to Rs 5,000 crore by 2018," DHFL Chief Executive Officer Harshil Mehta told PTI.
In just one year, DHFL's SME lending business has grown to over Rs 1,100 crore, he said.
Mehta said the company has focussed on segments like medical equipment, educational institutions and plant and machinery as part of its growth strategy.
The company has a customer base of nearly 1,200 units spread across tier II and III markets.
DHFL provides term loans against property, he said, adding that loans up to Rs 20 crore are offered with flexible tenure ranging upto 15 years.
For the third quarter ended December, DHFL reported a 16.4 per cent rise in net profit at Rs 185.90 crore on higher loan disbursements.
The company's net profit was Rs 160 crore in the corresponding period last fiscal.
Total income increased to Rs 1,885.32 crore from Rs 1,524.91 crore earlier.
Loan disbursements rose by 31 per cent to Rs 6,428.37 crore.
