Northern Arc Capital posts consolidated net profit of ₹242 crore in FY23

The IPO-related Northern Arc Capital reported a 33 per cent YoY growth in consolidated net profit at ₹ 242 crore in FY23. The Chennai-based Non-Banking Financial Company (NBFC) in FY22 net profit was Rs. 182 crores.

The company’s total income from operations, on a consolidated basis, grew by 44 per cent annually to Rs.1,305 crore in the previous financial year, as against Rs.909 crore in FY22.

Established in 2009, Northern Arc provides credit to MSMEs, self-employed, families and small businesses.

The company is present in 657 territories in 29 states and 7 union territories, and is backed by prominent equity investors such as Sumitomo Mitsui Banking Corporation, LeapFrog, IIFL, Accion, Augusta Investments (known as Affirma Capital), Dvara Trust, and Eight Roads.

In July 2021, the company filed the draft documents with SEBI for an initial public offering which includes a new issue of Rs 300 crore and an offer to sell up to 3,65,20,585 equity shares by some of its existing shareholders. The company’s total assets under management grew by 28 per cent to INR 9,078 crore as of FY23.

On a standalone basis, Northern Arc’s net profit grew by 28 per cent, year on year, to Rs.58.69 crore (Rs. 45.72 crores) in the fourth quarter of FY23. For FY23, its standalone net profit was Rs.225.35 crore (163.72 crore). rupee).