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PFS Q3 net profit surges 32 pc to Rs 42 cr

Press Trust of India  |  New Delhi 

company Friday reported 32 per cent rise in net profit to Rs 41.73 crore for the third quarter ended December 31.

The company's net profit stood at Rs 31.67 crore in the corresponding October-December quarter of 2017-18.

Total revenue for the third quarter this fiscal stood at Rs 336.31 crore, up by 13 per cent from Rs 298.53 crore in the year-ago period, said in a release.

Return on net worth improved to 8.13 per cent in Q3 FY 2019 in comparison to 5.60 per cent in Q3 FY 2018. Similarly return on assets has been improved to 0.32 in Q3 FY 2019 in comparison to 0.29 in Q3 FY 2018, it said.

said additional loans of Rs 1,316 crore were sanctioned, while Rs 697 crore disbursed during the quarter.

The asset quality improved as gross non-performing assets (NPAs) reduced to 6.85 per cent from 6.95 per cent in second quarter of this fiscal. Net NPA reduced to 3.29 per cent from 3.47 per cent in Q2 FY 2019.

The company said it has received fresh sanction of loans/credit lines of Rs 2,100 crore from banks and financial institutions.

The company said its focus continues to be on low risk high yield projects, HAM projects and transmission projects.

"At the same time we are exploring to fetch low cost long term funds so as to increase our NIM and spread. In times to come, some of our stressed assets will also be churned out with realisation of money and thereby further contribute towards bottom line of the company. All these efforts together are expecting to be result in increasing numbers in coming couple of quarters," the company said in the release.

Commenting on the performance, Pawan Singh - said: "Our company continues to unlock stress money into return generating assets, and further exploring new and innovative ways of funding to fetch long at lesser cost".

Singh said the company is taking benefit of recent amendment of the RBI guidelines for allowing Partial Credit Enhancement (PCE) limits to NBFCs and received sanction of Rs 400 crore PCE limit from the SBI for backing its proposed bonds up to Rs 2,000 crore with expected enhanced credit rating.

"The current volatility of the market is gearing up and strengthening us every day so as to improve our performance in times to come," he added.

Shares of closed 0.34 per cent up at Rs 14.48 apiece on the BSE.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, February 08 2019. 21:05 IST
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