NewsEarningsU.Y. Fincorp Reports Strong Q1 Results, Announces Joint Venture and Fundraising PlansU.Y. Fincorp Reports Strong Q1 Results, Announces Joint Venture and Fundraising Plans
UY Fincorp Limited reported robust Q1 financial results with total revenue of Rs. 3,563.32 lakhs and profit after tax of Rs. 508.46 lakhs. The company entered a joint venture with Fintech Cloud to expand into small ticket loans under the 'FUNDOBABA' brand. UY Fincorp received approval for a Rs. 50 crore qualified institutional placement and voluntarily delisted from the Calcutta Stock Exchange. The company also recorded an impairment of Rs. 900 lakhs related to its stake in Purple Advertising Services Private Limited, which is under liquidation.
*this image is generated using AI for illustrative purposes only.
UY Fincorp Limited, a financial services company, has reported robust financial results for the first quarter ended June 30, while also announcing strategic business expansions and fundraising initiatives.
Financial Performance
UY Fincorp delivered a strong financial performance in Q1, with total revenue from operations reaching Rs. 3,563.32 lakhs. The company's profit after tax stood at Rs. 508.46 lakhs, demonstrating solid profitability.
| Financial Metric | Q1 (Rs. in Lakhs) |
|---|---|
| Revenue from Operations | 3,563.32 |
| Total Income | 3,599.91 |
| Total Expenses | 2,949.65 |
| Profit Before Tax | 650.26 |
| Profit After Tax | 508.46 |
Strategic Initiatives
Joint Venture with Fintech Cloud
On April 9, UY Fincorp entered into a joint venture agreement with Fintech Cloud Private Limited (FCPL). This strategic partnership aims to expand the company's business into small ticket size personal and business loans under the brand name 'FUNDOBABA'. UY Fincorp will leverage its own NBFC license for this expansion, with FCPL managing the operations.
Fundraising through Qualified Institutional Placement
In a significant development, UY Fincorp received in-principle approval from both the BSE and NSE on July 15 for a proposed private placement of equity shares. The company plans to raise up to Rs. 50 crores through Qualified Institutional Placements, which could provide additional capital for its growth initiatives.
Corporate Updates
Delisting from Calcutta Stock Exchange
Effective July 17, UY Fincorp's equity shares were voluntarily delisted from the Calcutta Stock Exchange (CSE). This move follows the approval granted by CSE on July 16.
Associate Company Under Liquidation
UY Fincorp holds a 33.33% stake in Purple Advertising Services Private Limited, which is currently under liquidation. As a result, the company recorded an impairment of Rs. 900 lakhs in the financial year 2023-2024 related to this investment.
Investor Information
The company's unaudited standalone financial results for the quarter ended June 30 were reviewed by the Audit Committee and approved by the Board of Directors on August 13. These results are available on the company's website ( www.uyfincorp.com ) as well as on the websites of NSE ( www.nseindia.com ) and BSE ( www.bseindia.com ).
UY Fincorp's strong quarterly performance, coupled with its strategic initiatives in joint ventures and fundraising, positions the company for potential growth in the coming quarters. Investors and stakeholders will likely keep a close eye on the progress of the 'FUNDOBABA' brand and the outcome of the proposed qualified institutional placement.
Historical Stock Returns for UY Fincorp
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +1.54% | -2.75% | +18.56% | -17.48% | -56.02% | -56.02% |
19
