IGI Logo

Profectus Capital Private Limited (PCPL), an NBFC backed by Actis, a global private equity firm, announced impressive performance during the half year ended 30th September 2023. PCPL’s AUM stands at Rs 2,689 crores as of September 2023, up 44 % from September 2022. The company is dedicated to funding micro, small and medium enterprises (MSMEs) across eleven product clusters in India that need tailor-made financing for their growth aspirations.

1FY24 key performance highlights:

*       Total Income from Operations for the half year stood at Rs 194.16 crores compared to Rs 120.76 crores for the previous year’s half year (up by 61%)

*       Net Profit Before Tax is up to Rs 32.80 crores, a Y-O-Y growth of 129%.

*       The AUM grew to Rs. 2689 crores as of 30th September 2023, reflecting Y-O-Y 47% growth over the AUM as on September 30, 2022.

*       Receives a credit rating upgradation to CARE A (Stable) from CARE A-(Stable) by CARE Ratings, one of the leading credit rating agencies in India, basis positive factors like Strong Capitalization, Stable Asset Quality, Strategic Investor Support and Diversified Loan Portfolio.

*       Steady increase in the scale of operations, strong balance sheet, stable financial performance, and its ability to withstand market volatility has improved profitability in the past two years ended March 2023.

Commenting on the results, Mr K V Srinivasan, Executive Director and CEO, Profectus Capital Private Limited, said, “Our strong performance in this quarter reflects the strength of our distribution and credit processes. I believe that the time is ripe for us to reap the benefits of our investment in people, processes, technology and culture and increase the scale and profitability of our operations. The macro-economic factors are very positive for secured lending to MSMEs and Profectus Capital would endeavour to emerge as the most preferred financier to the sector over the next few quarters."

While commenting on the credit rating upgrade to CARE A(Stable) he stated, ‘’The revised outlook accurately reflects our strong capital adequacy, prudent gearing levels, and our consistently low levels of non-performing assets (NPAs). We have shown sustained operational scale growth, with a return on total assets (ROTA) approaching 2%, and our successful mobilization of equity capital for future business expansion."

Above views are of the author and not of the website kindly read disclaimer