Finance company Fusion Finance announced Q3FY25 results Financial Highlights: Total income stands at Rs 483 crore in Q3FY25 vs Rs 613 crore in Q3FY24. Net interest income (NII) for Q3FY25 is Rs 223 crore as compared to Rs 337 crore in Q3FY24. Net Interest Margin (NIM) at 8.86% in Q3FY25. Cost of Fund reduces to 10.28% in Q3FY25 from 10.37% in Q3FY24. Pre-provision Operating Profit at Rs 65 crore in Q3FY25. Loss After Tax of Rs 719 crore in Q3FY25; Higher loss is owing to reversal of net deferred tax assets (DTA) till date and enhanced provision coverage across all stages. Gross NPA stands at 12.58%; Net NPA at 1.71%. Credit cost at 5.8% in Q3FY25 vs 6.5% in Q2FY25. Healthy capital adequacy position with CRAR of 22.20%. Robust liquidity of Rs 1,151 crore aggregate of cash and cash equivalents and liquid assets, amounting to 12.26 % of the total assets. Operational & Business Highlights: AUM stands at Rs 10,599 crore in Q3FY25 as compared to Rs 10,693 crore in Q3FY24. Disbursements stand at Rs 1,168 crore in Q3FY25. Borrower base stands at ~36.6 lakh. Current portfolio Collection Efficiency stands at 97.7% in Dec’24 higher than 96.1% in Q2FY25. Devesh Sachdev, MD & CEO, Fusion Finance, said: “Our proactive actions in Q2 and tightened underwriting norms are showing positive trends across various parameters, including current portfolio’s collection efficiency, flow rates and net PAR accretion, among others. As guided, our provisioning for Q3 is lower than Q2 despite increase in provision coverage ratio. This quarter, we have reversed all net deferred tax assets (DTA) till date which has impacted our profitability. Otherwise, at a normalize tax rate, we would have witnessed lower loss of around Rs 380 crore, with standard corporate tax rate applied on the PBT. Importantly, there is no material effect on our CRAR and cash flows. Demonstrating continued confidence from our lenders, we have successfully secured waivers from the majority of them for covenant breaches identified during last quarter. We remain engaged with the few remaining lenders and are confident that there will be no demand for immediate repayment of borrowed funds. With our Rs. 800 crore rights issue progressing as planned and a robust CRAR of 22.20%, our capital position remains strong. With evolving industry dynamics and customer behaviour we remain confident in our approach to navigate these changes and continue to remain transparent and agile in our strategy and actions.” Result PDF
Finance company Fusion Finance announced Q2FY25 results Financial Highlights: Total income increases by 23.19% YoY from Rs 571 crore in Q2FY24 to Rs 704 in Q2FY25 Net interest income (NII) increases by 30.46% YoY from Rs 305 crore in Q2FY24 to Rs 397 crore in Q2FY25. Net Interest Margin (NIM) increases from 11.12% to 11.48% (YoY). Cost of Fund reduces from 10.55% to 10.05% (YoY). Pre-provision Operating Profit (PPOP) increases 17.39% YoY from Rs 242 crore in Q2FY24 to Rs 284 crore in Q2FY25; Overall profitability impacted leading to a loss of Rs 305 crore due to higher than usual provisioning. Gross NPA stands at 9.41%; Net NPA at 2.41%. Healthy capital adequacy position with CRAR of 24.39%. Robust liquidity of Rs 1,793 crore of cash and cash equivalents, amounting to 15.62% of the total assets. Other Highlights: Asset Under Management (AUM) grows by 15.41% from Rs 10,026 crore in Q2FY24 to Rs 11,571 crore in Q2FY25. Disbursements stand at Rs 1,661 crore in Q2FY25. Borrower base Stands at 38.52 lakh~. 65 branches added in Q2FY25, increasing the total branch network to 1,463 across 22 States, including 3 Union Territories. Devesh Sachdev, MD & CEO, Fusion Finance, said: “During Q2FY25, we continued to experience the impact of delinquency trends seen industrywide, making this a tough quarter. As shared previously, we have been closely tracking the evolving credit behaviour of the borrowers and have implemented strong measures to tighten credit criteria for new disbursements along with an increased focus on field collections and have also curtailed our growth resulting in muted AUM numbers QoQ basis. Our ECL provisioning for this quarter is higher, thus impacting our overall profitability. Having said that, our pre-provisioning profit (PPOP) on YoY basis remains steady, and we continue to have a strong Balance Sheet with a healthy CAR of 24.39%. We expect to file the documents for Rights Issue of up to Rs 550 crore in this quarter. As we continue to take a calibrated approach, our focus will be on treading the prudent growth path.” Result PDF
Finance company Fusion Micro Finance announced Q1FY25 results: Financial Highlights: Total income increases by 27.84% YoY from Rs 552.78 crore to Rs 706.68 crore Net interest income (NII) increases by 34.85% YoY from Rs 294.07 crore to Rs 396.55 crore Net Interest Margin (NIM) increases from 10.89% to 11.64% (YoY) Cost of Fund reduces from 10.57% to 10.09% (YoY) Pre-provision Operating Profit (PPOP) increases 26.49% YoY from 235.39 crore to Rs 297.75 crore; Overall profitability impacted leading to a loss of Rs 35.62 crore due to higher than usual provisioning Gross NPA stands at 5.46%; Net NPA at 1.25% Healthy capital adequacy position with CRAR of 25.86% Robust liquidity of Rs 1,590 crore of cash and cash equivalents, amounting to 12.98% of the total assets Business Highlights: Asset Under Management (AUM) grows 25.54% from Rs 9,711.75 crore to Rs 12,192.58 crore Disbursements increase by 30.73% YoY from Rs 2,284.61 crore to Rs 2,986.65 crore Borrower base increases to 39.5 lakh~ 101 branches added in Q1 FY25, increasing the total branch network to 1,398 across 22 States, including 3 Union Territories. Speaking on the results Devesh Sachdev, MD&CEO;, Fusion Finance said, “Our AUM has grown consistently and we continue to add new customers in a calibrated manner. As an agile and prudent organization we consistently review our portfolio and we noticed delinquency trends in certain pockets due to over-leverage and external factors. Due to which we have done early risk recognition and tightened our ECL model leading to higher than usual provisioning in this quarter that had an impact on our overall profitability. However, our preprovisioning profits (PPOP) have been in line with our consistent performance in the previous quarters and we expect to go back to our normal course in H2FY25. Our strong Balance Sheet with 25.86% CRAR underlines our robust business fundamentals and we are committed to follow a prudent path to ensure sustainable growth.” Result PDF
Finance company Fusion Micro Finance announced Q4FY24 & FY24 results: Q4FY24 Financial Highlights: • Total income increased 29.7% YoY from Rs 520.7 Crore to Rs 675.1 Crore • Net interest income (NII) increased 31.5% YoY from Rs 273.8 Crore to Rs 359.9 Crore • Pre-provision operating profit (PPOP) increased 31.5% YoY from Rs 221.1 Crore to Rs 290.7 Crore • Cost of Fund reduced from 10.4% to 10.2% (YoY) • GNPA reduced from 3.0% to 2.8% (QoQ) and NNPA reduced from 0.8% to 0.6% (QoQ) • Write-offs were Rs 75.1 Crore • Profit After Tax (PAT) increased by 15.9% YoY from Rs 114.5 Crore to Rs 132.7 Crore • Healthy capital position with CRAR of 27.5% • Robust liquidity of Rs 1,474.7 Crore of cash & cash equivalents, amounting to 12.5% of the total assets FY24 Financial Highlights: • Asset under Management (AUM) grew 23.5% YoY from Rs 9,296.2 Crore to Rs 11,476.1 Crore • Disbursements grew 19.8% YoY from Rs 8,596.1 Crore to Rs 10,294.4 Crore • Net NPA 0.6% • Borrower base increased from ~35.3 lakh to ~38.6 lakh • 211 branches added in FY24, increasing the total branch network to 1,297 branches across 22 States including 3 Union Territories Commenting on the performance, Devesh Sachdev, MD and CEO said, “We closed a very successful FY24 with the highest ever PAT, consistent growth in AUM, healthy return ratios and overall robust operational and financial metrics. We continue to invest in human capital, technology, network and process efficiencies. This reiterates our commitment to build a responsible and sustainable organization while creating long term value for our shareholders.” Result PDF