Ujjivan Small Finance Bank reported a 111 per cent jump in net profit at Rs 93 crore in the quarter ended September driven by higher business growth.
The bank had reported a profit after tax of Rs 44 crore in the year-ago period.
“The quarter was good for us. The transition phase is over with most of our branches converting into the banking outlets. Our focus now is on growth,” Ujjivan Financial Services’ managing director and CEO, Ittira Davis, said.
Ujjivan Financial Services is the holding company and promoter of Ujjivan Small Finance Bank.
The Rs 93 crore net profit also includes Rs 6 crore of tax benefit the bank got during the quarter.
Net interest margin (NIM) stood at 10.8 per cent in the reporting quarter against as 11 per cent in the same period last year.
Gross NPA was at 0.9 per cent as against 1.9 per cent, while net NPA remained the same at 0.3 per cent.
Cost of funds declined to 8.4 per cent in the September quarter from 8.5 per cent as on June 30, 2019.
Its gross loan book stood at Rs 12,864 crore and a deposit base of Rs 10,130 crore as of September 30, 2019.
Disbursement in the second quarter grew 51.3 per cent to Rs 3,606 crore.
Davis said the bank has filed its DRHP with SEBI in August 2019.
“By end-November we will come out with our IPO. We are looking to raise around Rs 1,200 crore,” he said.
Ujjivan Small Finance Bank serves over 49.4 lakh customers through 552 branches and 16,776 employees spread across 232 districts and 24 states and union territories.