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
Conference Call with Fusion Micro Finance Management and Analysts on Q3FY24 Performance and Outlook. Listen to the full earnings transcript.
Non-banking Financial company Fusion Micro Finance announced Q2FY24 results: Asset under Management (AUM) grew 24.60% YoY from Rs 8,047.18 crore to Rs 10,026.43 crore Disbursements grew 14.22% YoY to Rs 2,343.77 crore Net NPA at 0.65% Borrower base increased to 36.9 lakhs 61 branches added in Q2 FY24, increasing the total branch network to 1,164 across 22 States, including 3 Union Territories Total income increased 26.29% YoY from Rs 452.33 crore to Rs 571.26 crore Net interest income (NII) increased 26.33% YoY from Rs 241.07 crore to Rs 304.54 crore Pre-provision operating profit (PPOP) increased 29.11% YoY from Rs 187.27 crore to Rs 241.79 crore Total Expected Credit Loss (ECL) is Rs 300.24 crore (3.34%) (includes management overlay of Rs 61.48 crore), GNPA of Rs 241.10 crore (2.68%) and NNPA reduced to 0.65% from 0.78% (QoQ) Write-offs were Rs 103.42 crore Profit After Tax (PAT) increased by 32.22% YoY to Rs 125.69 crore from Rs 95.06 crore Healthy capital position with CRAR of 28.78%. Robust liquidity of Rs 1,400.43 crore of cash & cash equivalents, amounting to 13.42% of the total assets Crossed a significant milestone of Rs 10,000 crore AUM CRISIL has upgraded the credit rating to ‘CRISIL A+/Stable’. This is the second rating upgrade in the last 11 months. Commenting on the performance, Devesh Sachdev, Managing Director and CEO, Fusion Micro Finance said, “We continue to deliver a good set of numbers and are confident of strong performance in FY24. In this quarter, we achieved two very significant milestones of crossing Rs 10,000 crore Asset Under Management and a rating upgrade to ‘CRISIL A+/Stable’. This is the second upgrade in less than 11 months. We added ~2.4 lakh new clients in H1, YOY growth of 17.69 %. We have clocked Rs 125.69 crore Profit After Tax (PAT), up by 32.22 % YOY. We are navigating the elevated cost of funds environment very well with the Marginal Cost of Borrowing at 10.55 % which is the lowest in the last 4 quarters. Our key strategic focus remains to deliver long-term sustainable growth”. Result PDF