Suryoday Small Finance Bank (SSFB) reported a net profit of ₹39 crore in the fourth quarter against a net loss of ₹48 crore in the year-ago period on the back of a healthy growth in net interest income and other income and sharp decline in loan-loss provisions.
Net interest income rose 43 per cent year-on-year (yoy) to ₹210 crore (₹146 crore in the year-ago quarter). Other income jumped 70 per cent yoy to ₹34 crore (₹20 crore).
Net interest margin improved to 10.4 per cent against 7.8 per cent in the year-ago quarter.
Loan-loss provision declined 54 per cent yoy to ₹51 crore (₹112 crore).
NPAs down
GNPAs declined to 3.13 per cent of gross advances in the reporting quarter against 4.23 per cent in the preceding quarter.
Net NPAs declined to 1.55 per cent of net advances in the reporting quarter against 2.74 per cent in the preceding quarter.
As at March-end 2023, deposits increased by 34 per cent yoy and stood at ₹5,167 crore. Advances were up 27 per cent yoy to ₹6,015 crore.
Baskar Babu R, MD & CEO, said: “These numbers indicate that our AUM, disbursements and profitability have returned to pre-COVID levels, driven by the revival of the overall economy, strong on-ground demand, and increased geographical presence.
“Looking ahead to FY24, the bank aims to focus on growing Gross Advances by about 30 per cent, Deposits by about 35 per cent...Operationally, our key areas of focus include product diversification, maintaining GNPA level below 2 per cent and NNPA level below 0.5 per cent,”he said.