Repco Home Finance has registered a 24 per cent growth in net profit at ₹56 crore for the quarter ended September 30 compared with ₹45 crore in the year-ago period.
Its net interest income grew 14 per cent to ₹109 crore from ₹96 crore, while total income rose 6 per cent to ₹281 crore, according to a company statement.
It sanctioned loans worth ₹765 crore during the July-September quarter, up 23 per cent over the same period previous year. Disbursements grew 37 per cent to ₹753 crore.
“Q2 FY18 financial results were on expected lines where we focussed on maintaining pricing discipline and controlling costs with a view to unlock shareholder value.
“The operating environment has shown meaningful improvement with scope for further improvement being there,” said R Varadarajan, Managing Director, Repco Home Finance.
Net interest margins and interest spreads expanded to 4.8 per cent and 3.4 per cent, respectively. Cost-to-income ratio declined to 15 per cent (from 16.6 per cent), registering a multi-year low.
While the overall loan book rose 10 per cent to ₹9,321 crore at the end of September 2017, individual home loan book increased 12 per cent.
Return on assets and equity grew to 2.4 per cent and 19.6 per cent, respectively.
The asset quality improved with gross non-performing assets (GNPAs) at 3.4 per cent as at end-Septemberagainst 4 per cent as of June 2017.