Satin Creditcare Q2 net profit up by 17.8 pc at Rs 54 cr

Microfinance lender Satin Creditcare Network Limited (SCNL) on Wednesday reported a 17.8 per cent rise in net profit at Rs 54 crore for the second quarter ended September.

The company had posted a net profit of Rs 46 crore in the corresponding July-September period of the last fiscal ended March 2019.

However, total income of the company fell to Rs 345.15 crore in the second quarter of 2019-20 from Rs 352.06 crore in the year-ago period, the company said in a regulatory filing.

The company's gross loan portfolio (GLP) rose 16 per cent to Rs 7,182 crore at the end of September 2019 from Rs 6,191 crore a year ago, it said in a release.

"Notwithstanding the challenging environment under which the NBFC industry has tread in the last quarter, Satin still holds India's largest NBFC-MFI customer base," SCNL Chairman and Managing Director H P Singh said.

"On account of floods in the states of Assam, Bihar, Orissa and Madhya Pradesh, we witnessed a marginal increase in PAR numbers during Q2FY20 and (it) also impacted loan disbursement. However, we are constantly working towards maintaining a quality portfolio," he said.

Singh said the company is undergoing a complete process re-engineering, leading to tightening of credit norms and better controls.

"We have successfully implemented centralised shared services, psychometric test and geo-tagging of our branches, centers and clients house," he added.

Shares of Satin Creditcare closed at Rs 236.60 on the BSE on Wednesday, 3.21 per cent higher from previous close.