More Stories

Informist, Tuesday, Jul 16, 2024

 

--L&T Finance Apr-Jun consol net profit 6.86 bln rupees 

--Analysts saw L&T Finance Apr-Jun consol PAT 6.35 bln rupees 

--L&T Finance Apr-Jun consol net profit 6.86 bln rupees vs 5.31 bln 

--L&T Finance Apr-Jun consol revenue 37.84 bln rupees vs 32.23 bln 

 

MUMBAI – Strong growth in disbursements and improvement in asset quality helped L&T Finance Ltd to report an all-time high net profit of 6.86 bln rupees in Apr-Jun, up 29% from the corresponding quarter a year ago. The profit after tax surpassed analysts' expectations of 6.35 bln rupees. On a sequential basis, the bottomline grew 24%.

 

The earnings were announced after market hours today. Shares of the non-banking financier ended 0.8% lower at 184.35 rupees on the National Stock Exchange.

 

Retail disbursements grew 33% on year to 148 bln rupees in Apr-Jun, on strong growth in housing loans and loans against property, small and medium enterprises segment, and two-wheeler financing. These segments grew over 50% on a yearly basis.

 

Growth in retail franchising also aided the profit. The company extended its presence in over 200,000 villages, supported by over 13,000 channel relationships. The extension aided growth in rural business finance.

 

Improvement in asset quality also helped the non-banking finance company's earnings during the quarter. The gross and net stage-3 assets were at 3.14% and 0.79% as on Jun 30, 90 basis points and 40 bps lower from a year ago, respectively.

 

Overall, stable credit costs, growth in net interest income and net interest margins also supported. L&T Finance's credit cost was 2.37%, stable on both quarterly and yearly basis.

 

The company's net interest income grew 23% on year to 20.20 bln rupees in Apr-Jun. The net interest margin, fees, and other income of the company was up 144 bps on-year at 11.08% in Apr-Jun. Total revenue grew 17% on year to 37.84 bln rupees. The revenue was up over 3% sequentially.  End 

 

Reported by M.C. Adhiinthran

Edited by Ashish Shirke

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2024. All rights reserved.