Equitas SFB Q2FY23 net profit up 183% yoy at Rs116.42 crore on higher interest spread and lower provisioning

2 Nov 2022 , 11:18 AM

Equitas SFB reported 15.24% growth in total revenues for the September 2022 quarter on consolidated basis at Rs1,147.39 crore.

Revenue increased by 6.87% in sequential terms. For Q2FY23, Equitas SFB witnessed growth across treasury revenues and from retail banking while the revenues from wholesale banking were lower on a yoy basis.

Gross advances increased 20% yoy at Rs22,779 crore with quarterly disbursements up 22%. The CASA deposits grew by 28% to Rs10,456 crore with CASA accounting for 48% of total deposits.

Yields on advances were stable at around 17.1% while cost of funds steadied at 6.25%.

Net profits for the Q2FY23 quarter were up 182.64% yoy at Rs116.42 crore while the profits were sequentially higher by 20%.

The gross NPAs tapered from 3.95% to 3.82% while the PCR or provision coverage ratio is now about 50%. The spreads are evident from the huge gap between yield on advances and the cost of funds. ROA stood at 1.6% while the ROE for the quarter was at 10.57%.

Capital adequacy ratio at 23.08% and tier 1 capital at 22.55% are extremely comfortable. NII is up 26% you at Rs610 crore with NIMs at 9%.

Financial highlights for Sep-22 compared yoy and sequentially

	Equitas SFB
Rs in Crore	Sep-22	Sep-21	YOY	Jun-22	QOQ
Total Income (Rs cr)	₹ 1,147.39	₹ 995.69	15.24%	₹ 1,073.62	6.87%
Net Profit (Rs cr)	₹ 116.42	₹ 41.19	182.64%	₹ 97.01	20.01%
Diluted EPS (Rs)	₹ 0.92	₹ 0.36		₹ 0.77
Net Margins	10.15%	4.14%		9.04%