SRG Housing Finance reported a strong financial performance for the quarter ended December 31, 2024 (Q3 FY25), with its net profit growing by 7.89% year-on-year (YoY) to Rs 5.74 crore, compared to Rs 5.32 crore in Q3 FY24. The growth was driven by higher loan disbursements and improved total income.
Key Financial Highlights for Q3 FY25:
- Gross Loan Assets (AUM): Rs 707.47 crore, up 29% YoY from Rs 548.40 crore.
- Loan disbursement: Rs 90.95 crore, up 51% from Rs 60.23 crore YoY.
- Total income: Rs 40.25 crore, up 25% from Rs 32.21 crore.
- Net interest income (NII): Rs 17.20 crore, a 12.71% growth from Rs 15.26 crore.
- Net profit (PAT): Rs 5.74 crore, up from Rs 5.32 crore in Q3 FY24.
Expense and Efficiency Metrics:
- Cost to income ratio: Increased to 65.40% from 63.66% YoY due to operational expansion.
- Net interest margin (NIM): Declined to 2.53% from 2.87% YoY due to rising costs.
- Book value per share: Rs 150.51, up from Rs 114.60 YoY, reflecting strong equity growth.
Asset Quality and Capital Adequacy:
- Gross NPA: 1.98%, improved from 2.37% in Q3 FY24.
- Net NPA: 0.61%, slightly down from 0.62% YoY.
- Capital adequacy ratio: Stood at 39.85%, ensuring financial stability.
Management commentary:
The company highlighted its continued AUM growth, strong disbursements, and expansion into Maharashtra, Karnataka, and Andhra Pradesh as key growth drivers. It aims to achieve an AUM target of Rs 1,000 crore within the next 12-18 months.
The board also approved a Rs 50 crore fundraising to support its expansion plans, focusing on achieving sustainable growth while maintaining asset quality.