IDFC Ltd Q4 profit plummets 99% to Rs 1.56 cr

IDFC Ltd today reported a 98.8 per cent slump in consolidated net profit at Rs 1.56 crore for the fourth quarter ended March 2018.

It had reported a net profit of Rs 134.80 crore for the same quarter of the previous fiscal.

However, total income during the quarter rose to Rs 2,690.16 crore from Rs 2,577.88 crore in the year-ago period, IDFC said in a BSE filing.

For the full financial year, the company posted a net profit of Rs 589.65 crore, a decline of 16 per cent, as against a net profit of Rs 699.09 crore in the previous fiscal.

Total income in 2017-18 rose to Rs 11,161.21 crore compared to Rs 10,402.06 crore a year ago.

The board has recommended a final dividend of Rs 0.75 per share of Rs 10 each, that is 7.5 per cent, for 2017-18, it said.

Further, it said the board approved borrowing of funds from time to time through issuance of various instruments, including non-convertible debentures (NCDs) and commercial papers for an amount not exceeding Rs 2,000 crore.

The board also approved the re-appointment of Vinod Rai as non-executive chairperson of the company for a period of three years from the date of the ensuing AGM.

During the year ended March 31, 2018, IDFC Bank, a subsidiary, sold partial stake in Feedback Infra Private Limited (FIPL) which resulted in a change in its shareholding in FIPL from 24.61 per cent to 17.77 per cent.

Since IDFC Bank ceased to have significant influence in FIPL, it is no longer classified as an associate with effect from March 19, 2018.

On January 13, 2018, the board of directors of IDFC Bank approved the merger of Capital First and its wholly owned subsidiaries, Capital First Home Finance Limited and Capital First Securities Limited with the bank in an all-stock transaction through a Composite Scheme of Arrangement, subject to approvals of the various regulators including Reserve Bank of India (RBI), and the Securities and Exchange Board of India (SEBI).