UGRO Capital net profit rises two-fold at Rs 14 cr in March quarter

Technology-driven non-bank lender UGRO Capital on Monday reported a two-fold rise in its consolidated net profit at Rs 14 crore in the January-March 2023 quarter.

The company had posted a net profit of Rs 6.1 crore in the corresponding quarter a year ago, UGRO Capital said in a statement.

Its total income for Q4FY23 jumped 92 per cent to 217.2 crore in the fourth quarter of FY23 compared to the year-ago quarter.

The company's asset under management (AUM) more than doubled and stood at Rs 6,081 crore as of March 23, up 105 per cent year on year.

Its total income for the full fiscal was Rs 683.8 crore, which was 119 per cent higher from FY22.

Shachindra Nath, vice chairman and managing director of UGRO Capital, said, "Despite broader challenges to the lending industry, UGRO Capital has successfully built an AUM of Rs 6,000-plus crore and with a monthly net disbursement of more than Rs 500 crore. Our increasing off book AUM of 40 per cent demonstrates that our credit scoring model and underwriting framework are widely accepted across the banking industry."

Over the last four years, the company claimed to have served over 48,000 customers in 4,000 different pin codes. It intends to gain a 1 per cent market share by tapping 1 million small businesses as its borrowers in the next three years.