Spandana Sphoorty Q4 net rises to ₹105 cr; aims to disburse ₹11,500 cr in FY24

Small lender Spandana Sphoorty Finance On Tuesday it announced a 268 per cent jump in its consolidated net profit for the March quarter to Rs 105.55 crore.

The Hyderabad-based company, which specializes in rural loans, reported a profit after tax of Rs. 71.36 crore in the previous December quarter.

For FY23, its net profit after tax fell to Rs.12.31 crore as against Rs.69.8 crore in the same period last year. A statement from Spandana Sphoorty said the company had to write off assets worth Rs. 702 crore in the first quarter of FY23, resulting in a massive drop in profit.

Managing director and CEO Shalabh Saxena said the company aims to disburse Rs. 11,500 crore in loans in FY24 and will open 400 new branches as well.

For the reporting quarter, its total income grew to ₹533 crore, up 42 per cent, compared to the December quarter, while basic net interest income increased to ₹384 crore.

Total assets under management

Total assets under management were ₹8,511 crore as of 31st March 2023, compared to ₹6,581 crore in the period last year.

In terms of asset quality, the lending bank showed a sharp improvement, with total non-performing assets reaching 2.07 percent, compared to 18.7 percent in the same period last year.

Spandana stock closed down 6.14 percent at ₹632.15 a piece on BSE on Tuesday before the results were announced.