Gruh finance reported 20 percent increase in Q1-FY19 profit

Mohan | Myequity news | Date: 25-07-2018 23:45:00 IST

Gruh finance Limited a subsidiary of HDFC Ltd, today reported 20% increase in profit on YOY basis for quarter ended June 30, 2017. Below are the highlights of operational performance.

(Rs in crores)

Particulars June 30, 2018 June 30, 2017 Growth (%)
Net Interest Margin 175 155 13
Non-Interest Expenses 27 25 8
Profit Before Tax 156 130 20
Profit After Tax 115 96 20
Disbursements 1,226 1,200 2
Loan Assets 15,857 13,665 16

Loan Portfolio

The loan portfolio as at June 30, 2018 amounted to Rs 15,857 crores as against Rs 13,665 crores in the previous year — an increase of 16%.

Loan Disbursements

Loan disbursements during the quarter were Rs. 1,226 crores as against Rs. 1,200 crores in the corresponding period in previous year indicating a growth of 2%.

Cumulative loan disbursements as of June 30, 2018 were Rs. 24,397 crores.

Provisions for Expected Credit Losses

As per requirement of Ind AS 109 on “Financial Instruments”, provision for credit losses are to be carried in Balance Sheet based on expected credit losses. Accordingly, as required by the said Ind AS, GRUH carries provision of Rs 99.03 crores as on June 30, 2018 towards expected future credit losses on Loan Assets of Rs 15,857 crores.

Deposits

GRUH’s deposit portfolio has increased to Rs. 1,498 crores, up from Rs. 1,479 crores as at June 30, 2017. GRUH’s Fixed Deposit programme has been rated “AAA” by CRISIL and ICRA. The rating of “AAA” indicates that the degree of safety of repayment and principal is Very Strong.

GRUH’s Short Term borrowings including Commercial Paper (CP) and short term NCD’s is rated “A1(+)” by CRISIL and ICRA and Long-Term Debt and Sub Ordinate Debt programmes are rated “AAA” by ICRA.

Retail Network

GRUH has a network of 194 retail offices across 11 states of the country. GRUH has 48 offices in Gujarat, 51 offices in Maharashtra, 17 offices in Karnataka, 32 offices in Madhya Pradesh, 13 offices in Rajasthan, 12 offices in Chhattisgarh, 12 offices in Tamil Nadu, 5 branches in Uttar Pradesh, one each in the states of Jharkhand and Bihar and 2 branches in West Bengal.


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