JOIN USL&T Finance Holdings (L&TFH) on Thursday reported 15 per cent increase in net profit at Rs 192 crore for the first quarter ended June 2015 compared with Rs 167 crore in the corresponding quarter last year.
The net interest margin (NIM) for the lending business has shown a growth of 22 per cent to Rs 681 crore compared with Rs 558 crore in the same period last year.
The company saw a huge growth in loans and advances by 21 per cent to Rs 49,219 crore compared with Rs 40,764 crore owing to healthy disbursement growth of 37 per cent on a y-o-y basis in key focus areas mainly in B2C products — two-wheelers, housing and microfinance in the retail business, and operational projects in the wholesale business.
The average assets under Management (AAUM) of the investment management business grew by 12 per cent to Rs 22,213 crore as compared with Rs 19,895 crore for the same period last year. The share of equity assets increased to 42 per cent of the total AAUM, reaching Rs 9,329 crore, representing a 76 per cent increase on a y-o-y basis.
The seasonal delinquencies in the farm portfolio have had an impact on the NPAs (non-performing assets). The percentage of gross and net NPA ratios stood at 3.05 per cent and 2 per cent respectively.
B2C products constitute 59 per cent of the total loan outstanding in the retail business while operating projects account for 51 per cent of the total loan outstanding in the wholesale business.