Ujjivan Small Finance Bank Q3 Results: Profit rises 2.4% YoY to Rs 300 crore
Bank on Wednesday reported a mere 2.4% year-on-year rise in net profit at Rs 300 crore for the quarter to December 30, 2023 on account of higher provisions while the bank's operating profit rose 17.5% at Rs 457 crore supported by a steady expansion of core income.
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The net profit was Rs 293 crore in the year ago period while operating profit was Rs 389 crore. The bank set aside Rs 63 crore as provisions and contingencies in the last quarter against a net write back of Rs 22 lakh in the year-ago period.
The net interest margin for the quarter remained steady at 8.8% compared to what it was for the preceding three months. Net interest income rose 23% year-on-year at Rs 860 crore.
Managing director Ittira Davis said that the highlight for the quarter was healthy loan disbursements with rising share of secured book while high deposit accretion was supported by strong CASA growth.
Disbursements were 17% higher at Rs 5675 crore which helped gross loan portfolio rise 27% to Rs 27743 crore at the end of December last year. The share of secured books rose to 28.3% in the last three months from 27.5%.
The bank's asset quality improved with gross non-performing assets ratio falling to 2.18% at the end of the reporting period from 3.64% seen a year back.
«Our guidance on loan and deposit book growth remains intact. Credit cost will continue to remain within sub 100 basis points as per our earlier guidance. In line with our strategy, we will continue to expand our physical presence across the country,» Davis said.
The bank's deposits rose 28% to Rs 29,669 crore with current and savings accounts ratio rising to 25.5% in the past three months.
The bank is in the
