Ujjivan Financial Services Q1 net profit skyrockets by 102.51%

The company reported total income at Rs.329.32 crore, an increase of 50.46% over Q1-FY16 and 10.52% over Q4-FY16.

Jul 29, 2016 05:07 IST India Infoline News Service

Ujjivan Financial Services
Ujjivan Financial Services Ltd, one of the leading providers of microfinance in India, today announced their financial performance for the quarter ended June 30, 2016.

Summary of Financial Performance:
  • Net Profit at Rs.71.37 crore; a jump of 102.51% over Q1-FY16 and 29.96% over Q4-FY16
  • Total Income at Rs.329.32 crore, an increase of 50.46% over Q1-FY16 and 10.52% over Q4-FY16
  • Cost to Income ratio at 45.60% from 54.27% in Q1-FY16 and 48.77% Q4-FY16
  • Operating Expense ratio decreased to 7.22% from 7.98% in Q1-FY16 and 7.34% in Q4-FY16
  • EPS at Rs.6.39; RoAA at 4.85% and RoAE at 20.27%
Commenting on the financial performance for the quarter ended June 30, 2016, Mr. Samit Ghosh, Managing Director, Ujjivan Financial Services said,“We have been successful in improving the productivity and reducing the costs continuously. This has helped us in maintaining the growth momentum.”

He also mentioned - “Our current focus is on the transition to an SFB. We have started with the implementation of multiple applications including core banking software, Finacle. We have on-boarded all the key senior level people and the hiring of other levels will be completed, soon. Training for the employees at various levels for the transition is in full swing.”

Sudha Suresh, CFO added, “During the quarter, we maintained our focus on increasing our business in MSE and Housing segments. This has helped to increase the share of Individual Lending to 13.4% from 12.9% in Q4-FY16. We have maintained the weighted average borrowing rates at 11.6% during the quarter. With the further upgrade in credit ratings coupled with strong relations with banks/FIs, we look forward to further reduction in borrowing rates in the coming days” Ujjivan Financial Services

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