IIFL Finance on Wednesday reported a 37 per cent rise in net profit at Rs 291.60 crore in the second quarter ended September.
The company had posted a net profit of Rs 212.70 crore in the same quarter of the previous fiscal.
Total income during the July-September period rose 11 per cent to Rs 969.30 crore as against Rs 874.50 crore in the corresponding period of FY21, IIFL Finance said in a release.
The company's asset under management (AUM) during the reported quarter grew 8 per cent at Rs 44,249 crore from Rs 40,843 crore a year ago, it said.
Home loans constituted 35 per cent, gold loans 31 per cent, business loans 16 per cent and microfinance loans 10 per cent of the total AUM.
During the latest September quarter, disbursements were back to pre-COVID levels with heightened economic activity, the company said.
The non-banking finance company said it has made an aggressive bet on growth, with an almost 15 per cent net increase in manpower strength in the last quarter.
"Besides, we have accelerated investment in technology and branding. Our co-lending proposition is getting very positive response from banks.
"Our strategy of focusing on small ticket retail loan assets with extensive use of digital technology and partnering with banks for co-lending, is vindicated by robust profit growth," IIFL Finance Chairman Nirmal Jain said.
On the asset front, gross Non-Performing Assets (NPAs) stood at 2.3 per cent and net NPAs at 1.1 per cent as on September 30, 2021.
With the implementation of Expected Credit Loss (ECL) under Ind AS, provision coverage on NPAs stands at 175 per cent, IIFL Finance said.
Stock of the company closed at Rs 321.85 apiece on BSE, up 4.99 per cent over previous close.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.