Tag: Equitas SFB net profit

Equitas Small Finance Bank (Equitas SFB) on Friday reported a 60% decline in its net profit to Rs 41 crore for the second quarter, compared with Rs 103 crore in the corresponding quarter of the previous fiscal, mainly on account of provisions made on restructured accounts. Total income stood at Rs 991 crore, against Rs 852 crore, an increase of 16%.

The gross NPA was at 4.64% in Q2FY22, compared with 4.58% in the previous quarter and 2.39% in Q2FY21. Net NPA stood at 2.37% in the quarter under review, as against to 2.29% in Q1FY22 and 1.09% in Q2FY21, The provision coverage ratio was at 50.09%, said a release by the bank.

PN Vasudevan, MD & CEO, said, “With no lockdowns and spread of virus largely under control, the bank saw an improved performance. While the overall GNPA remained steady compared to the first quarter, there was improved collection efficiency, leading to reduction in overdue cases between one and 90 days.”

Advances as of Q2FY22 was at Rs 18,978 crore, a growth of 13% YoY and around 81.44% of advances were secured loans. Strong revival of credit demand witnessed across products. The bank had the highest quarterly disbursement of Rs 3,145 crore in Q2FY22, it said.

Total advances restructured stood at Rs 1,401 crore, which forms around 7% of gross advances, and the bank carried a provision of Rs 196 crore towards the restructured book.