Spandana reports Rs 119crore profit after tax

CHENNAI: Microlender Spandana Sphoorty Financial Limited on Monday posted a profit after tax (PAT) of Rs 119 crore in the quarter ended June 30, 2023. The company had reported a loss of Rs 220 crore in Q1FY23.

While the net interest income (NII) was at Rs 328 crore in the first quarter of FY24, a 102% increase over the corresponding period in the previous year at Rs 162 crore, the net interest margin (NIM) rose by 14.2% in Q1 2023-24, which was at 9.9% in Q1 FY23.

The assets under management (AUM) of the Hyderabad headquartered company was at Rs 8,848 crore during the April-June period in the current fiscal, an increase by 60% when compared with Q1 FY23 at Rs 5,513 crore.

Shalabh Saxena, CEO and managing director, Spandana Sphoorty Financial, said, "Last year we wrote-off Rs 702 crore of portfolio in Q1 FY23 resulting in net loss of Rs 220 crore for the quarter. Our focused efforts during FY23 resulted in an improvement in asset quality with GNPA improving from 18.7% end of FY22 to 1.63% at the end of Q1FY24. We are confident to deliver the goals of Vision 2025 which is Rs 15,000 crore of microfinance portfolio and upwards of Rs 2,000 crore in the housing and nano MSME loans.”