SBFC Finance Reports 28% Surge in Q1 Net Profit, Reaches ₹1,009 Crore
SBFC Finance Limited announced strong Q1 results with a 28% year-on-year increase in net profit to ₹1,008.92 crore. Total income rose by 30.6% to ₹3,885.42 crore, while interest income grew 30.9% to ₹3,548.97 crore. The company's basic EPS improved to ₹0.93 from ₹0.73. However, there was a slight increase in Gross and Net Non-Performing Assets. The company issued 28,22,073 equity shares under employee stock option schemes and transferred 409 stressed loan accounts worth ₹250.93 crore to asset reconstruction companies.

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SBFC Finance Limited, a prominent non-banking financial company (NBFC), has announced robust financial results for the first quarter. The company reported a significant 28% year-on-year increase in net profit, reaching ₹1,008.92 crore for the quarter ended June 30.
Key Financial Highlights
Metric | Current Quarter | Previous Year Quarter | Change |
---|---|---|---|
Total Income | ₹3,885.42 crore | ₹2,975.07 crore | +30.6% |
Interest Income | ₹3,548.97 crore | ₹2,711.19 crore | +30.9% |
Net Profit | ₹1,008.92 crore | ₹787.15 crore | +28.0% |
Basic EPS | ₹0.93 | ₹0.73 | +27.4% |
Asset Quality and Financial Ratios
Metric | Current Quarter | Previous Year Quarter |
---|---|---|
Gross Non-Performing Assets (GNPA) | 2.78% | 2.60% |
Net Non-Performing Assets (NNPA) | 1.57% | 1.51% |
Provision Coverage Ratio | 44.38% | 42.63% |
Capital to Risk Assets Ratio | 34.28% | 40.84% |
Debt-Equity Ratio | 1.73 times | 1.42 times |
Other Notable Developments
- The company issued 28,22,073 equity shares to eligible employees under various stock option schemes during the quarter.
- SBFC Finance transferred 409 stressed loan accounts worth ₹250.93 crore to asset reconstruction companies.
Management Commentary
Aseem Dhru, Managing Director & CEO of SBFC Finance Limited, stated, "Our strong performance this quarter reflects the robustness of our business model and the dedication of our team. We continue to focus on maintaining asset quality while driving growth across our key business segments."
Conclusion
SBFC Finance's Q1 results demonstrate its ability to capitalize on market opportunities while maintaining financial prudence. The company showed impressive growth in total income and net profit. However, the slight increase in NPAs suggests a need for vigilance in credit quality management. The strong capital position and improved provision coverage ratio indicate SBFC Finance's preparedness to manage potential risks. As the company moves forward, investors and stakeholders will be keenly watching its strategies for sustainable growth and asset quality management in the evolving financial landscape.
Historical Stock Returns for SBFC Finance
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
-4.39% | -5.30% | +2.69% | +27.67% | +35.55% | +18.72% |