SBFC Finance Reports Robust Q3FY24 Results
SBFC Finance Limited has announced its Q3FY24 financial results for the quarter ended 31st December. SBFC Finance Limited’s (SBFC), the leading pan-India NBFC, which garnered an overwhelming response to its IPO in August and later staged a strong debut on exchanges, robust y-o-y growth of 40% in AUM and 63% in net profit for the December quarter with consistent asset quality.
The Mumbai headquartered company reported 63% year-on-year growth in net profit at Rs 64 crore while revenue from operations rose by 39% to Rs 264 crore for the quarter ended December 31, 2023. Asset Under Management grew by 40% to Rs 6266 crore of which secured MSME grew by 50%.
The company’s asset quality has gradually improved. The Gross Non-Performing Asset (NPA) ratio is at 2.38% as at December 31, 2023 in comparison to 2.66% same time last year. During the period, the provisioning coverage ratio (PCR) improved to 43% from 36%.
SBFC is a non-deposit taking NBFC that offers Secured Micro, Small, and Medium Enterprises (MSME) and Gold Loans. The Company operates in the ticket size between Rs 5 lakh and Rs 30 lakh lending to Small business owners, Self-employed individuals, salaried and working class individuals. The company operates through 177 branches in 145 cities across 16 states and two union territories. The company has shown a rapid growth in the loan book over the past three years spread across the country with no geographic concentration. The South and the North parts of the country contribute 39.3% and 32.5% to the AUM respectively. The West and the East combined contributes 28.2% of the AUM.
Recently the Company was upgraded to AA- (Stable) by India Ratings.
The Key Performance Indicators are ;
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