Satin Creditcare Q3 net profit up 51% at Rs 71 crore

Micro-finance company Satin Creditcare Network Ltd (SNCL) Monday reported a 51 per cent jump in its net profit at Rs 71 crore for third quarter ended December 2018.

The company's net profit stood at Rs 47 crore in the same quarter of the previous fiscal.

The gross loan portfolio was at Rs 6,208 crore at the end of December 2018, up 27 per cent from a year ago, SCNL said in a regulatory filing.

Total income rose to Rs 402 crore during October-December quarter of 2018-19 as against Rs 260 crore in the same period of 2017-18.

The company said its collection efficiency of loans disbursed since January 2018 was at 99.5 per cent, comprising 78 per cent of the loan portfolio.

"Our Q3FY19 profits are a result of our focus on quality lending. To achieve this, we have curated our business strategy on four core pillars; geographical expansion, portfolio diversification, asset quality and strategic partnership with financial institutions. This quarter we have commenced our microfinance operations in south and established our journey as pan-India player," Chairman and Managing Director HP Singh said.

He also said that the company has received NBFC licence for its subsidiary Satin Finserv during the quarter.

"We will now focus on building our MSME book, which is currently a huge business opportunity. Riding the digital wave, Satin has invested into technology to become the first microfinance company to foray in fintech. In Q3FY19, we launched Loan Dost, an app based digital lending platform to target millennials," Singh said.

Stock of the company closed 1.78 per cent lower at Rs 256.20 apiece on BSE.