PTC India Fin Services net profit falls 28% to Rs 32 cr in Sept quarter

PTC India Financial Services (PFS) has reported a 28 per cent decline in its net profit to Rs 31.85 crore for the September 2020 quarter.

The non-banking finance company had posted a net profit of Rs 44.24 crore in the corresponding quarter of the previous financial year.

"The net profit stands at Rs 32 crore, with an improvement in our net interest margins to 3.58 per cent.

"With much-needed liquidity boost, we are now increasing our focus on lending towards sustainable infrastructure projects, renewables, HAM (hybrid annuity model) projects, waste management, sewage treatment plants, gas distribution and electric vehicle charging," PFS said in a statement on Friday.

Total income during July-September 2020 also fell to Rs 297.98 crore, against Rs 354.11 crore in the year-ago period, PFS said.

The company has received additional credit lines of Rs 700 crore in the second quarter of 2020-21, it said.

PFS said its total outstanding credit -- aggregate of loan assets and non-fund based commitments against sanctioned loans -- stood at Rs 11,638 crore as on September 30, 2020.

Loan assets aggregated to Rs 11,194 crore and outstanding non-fund-based commitments aggregated to Rs 444 crore.

Gross non-performing accounts (GNPAs) stood at 8.46 per cent and net NPA at 4.74 per cent at the end of September 30, 2020.

"The company is expecting further reduction in its NPA level in the coming quarters with resolution of few of its stress accounts," it added.

The firm said its capital adequacy ratio as on September 30, 2020, stood at 24.06 per cent, comprising tier-1 at 23.32 per cent and tier-2 at 0.74 per cent. The debt-to-equity ratio has reduced to 4.30 times.

"The consolidation phase of the company is now over, and we are looking ahead towards a future of resurgence, expansion and growth," PFS said.

It added that the company's priority towards maintaining a clean balance sheet, both in terms of nature of business and quality of assets, remains untethered. "We strive to improve our NIMs (net interest margins), cost of borrowings and all operating margins to position the company for sustainable growth."

PFS' shares on Friday declined 3.69 per cent to Rs 18.25 apiece on the BSE.


(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.)


Dear Reader,


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.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel