Non-banking Financial company Fusion Micro Finance announced Q2FY24 results:
- Asset under Management (AUM) grew 24.60% YoY from Rs 8,047.18 crore to Rs 10,026.43 crore
- Disbursements grew 14.22% YoY to Rs 2,343.77 crore
- Net NPA at 0.65%
- Borrower base increased to 36.9 lakhs
- 61 branches added in Q2 FY24, increasing the total branch network to 1,164 across 22 States, including 3 Union Territories
- Total income increased 26.29% YoY from Rs 452.33 crore to Rs 571.26 crore
- Net interest income (NII) increased 26.33% YoY from Rs 241.07 crore to Rs 304.54 crore
- Pre-provision operating profit (PPOP) increased 29.11% YoY from Rs 187.27 crore to Rs 241.79 crore
- Total Expected Credit Loss (ECL) is Rs 300.24 crore (3.34%) (includes management overlay of Rs 61.48 crore), GNPA of Rs 241.10 crore (2.68%) and NNPA reduced to 0.65% from 0.78% (QoQ)
- Write-offs were Rs 103.42 crore
- Profit After Tax (PAT) increased by 32.22% YoY to Rs 125.69 crore from Rs 95.06 crore
- Healthy capital position with CRAR of 28.78%.
- Robust liquidity of Rs 1,400.43 crore of cash & cash equivalents, amounting to 13.42% of the total assets
- Crossed a significant milestone of Rs 10,000 crore AUM
- CRISIL has upgraded the credit rating to ‘CRISIL A /Stable’. This is the second rating upgrade in the last 11 months.
Commenting on the performance, Devesh Sachdev, Managing Director and CEO, Fusion Micro Finance said, “We continue to deliver a good set of numbers and are confident of strong performance in FY24. In this quarter, we achieved two very significant milestones of crossing Rs 10,000 crore Asset Under Management and a rating upgrade to ‘CRISIL A /Stable’. This is the second upgrade in less than 11 months. We added ~2.4 lakh new clients in H1, YOY growth of 17.69 %. We have clocked Rs 125.69 crore Profit After Tax (PAT), up by 32.22 % YOY. We are navigating the elevated cost of funds environment very well with the Marginal Cost of Borrowing at 10.55 % which is the lowest in the last 4 quarters. Our key strategic focus remains to deliver long-term sustainable growth”.