The Economic Times daily newspaper is available online now.

    IIFL Finance Q3 results: Net profit jumps 47% to Rs 268 cr

    Synopsis

    It reported an income of Rs 919 crore for the October-December 2020 period, a jump of 58 per cent year-on-year.

    iiflAgencies
    The company had reported a net profit of Rs 182.5 crore in the corresponding quarter last year, according to a BSE filing.
    Leading non-banking lender IIFL Finance on Friday reported a 47 per cent jump in its consolidated net profit to Rs 268 crore in the December 2020 quarter.

    The company had reported a net profit of Rs 182.5 crore in the corresponding quarter last year, according to a BSE filing.

    It reported an income of Rs 919 crore for the October-December 2020 period, a jump of 58 per cent year-on-year.

    Loan book grew 17 per cent to Rs 42,264 core, while total comprehensive income grew 24 per cent to Rs 231.3 crore.

    Gross non-performing assets (NPAs) stood at 1.61 per cent and net NPAs were at 0.77 per cent, while its provision coverage for bad loans stood at 170 per cent.

    IIFL Finance Chairman Nirmal Jain said this is the highest-ever profit excluding exceptional items, as its pre-provisioning operating profit jumped 127 per cent to Rs 615.4 crore during the quarter.

    Of the total loan assets of Rs 42,264 crore, home loans constituted 32 per cent. Gold loans were up 29 per cent, business loans 18 per cent and microfinance loans 9 per cent.

    Jain said the pre-provisioning operating profit of Rs 615.4 crore is the highest ever for the company and attributed the same to volume growth and reduction in cost of funds, which declined on an average by 10 basis points to 9 per cent.

    Of the total loan books, 90 per cent are retail in nature and 43 per cent are priority sector lending (PSL)-compliant. The assigned loan book of Rs 11,371 crore is 27 per cent of the total loans, up from Rs 10,998 crore in the previous quarter. Besides this, there are securitised assets of Rs 3,201 crore.

    Retail home loans grew 9 per cent to Rs 13,445 crore. The primary focus in this segment is on affordable and non-metro housing loans.

    The gold loan book grew to Rs 12,212 crore, up 61 per cent, as gold prices soared due to the coronavirus pandemic and a large number of people pawned their jewellery for cash to run their homes.

    The microfinance business continued to grow steadily with the loan book clipping at 33 per cent to Rs 3,920 crore, while secured business loans grew 7 per cent to Rs 5,411 crore and the unsecured segment continued to decline.



    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more


    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
    The Economic Times

    Stories you might be interested in