Total income from operations increased by 105% year-over-year to Rs 610 crore during the period under review. Net interest margin for Q2 FY24 was 14.1% as compared with 13% in Q2 FY23.

Total expenses rose by 42% to Rs 155 crore in Q2 FY24 over Q2 FY23, due to higher employee expenses (up 56% YoY) and higher other expenses (up 11% YoY).

Pre-provision operating profit (PPOP) for the second quarter was Rs 258 crore (up 134% YoY).

Impairment on financial instruments and other provisions was Rs 90 crore in Q2 FY24 as against Rs 26 crore in the same period last year.

Profit before tax in Q2 FY24 stood at Rs 168 crore, up by 99% from Rs 26 crore in Q2 FY23.

Shalabh Saxena, CEO and managing director, stated, “During the quarter our AUM grew 69% YoY to Rs 9,784 crore with disbursements at Rs 2,513 crore which was a growth of 81% YoY. We added 3.5 lakh new borrowers taking our total borrower count to 27 Lakhs, a growth of 24%.

All the financial parameters showed a positive trend with PAT increasing 127% to Rs 125 crore, GNPA and NNPA further improving to 1.40% and 0.42% respectively from 1.63% and 0.49% respectively at the end of Q1 FY24.

Asides, we have added 292 branches during the calendar year, taking the count of operational branches to 1,407. We will be operationalizing additional 110 branches in the next 3 months, thus taking the branch strength to over 1,500.

During the quarter, we soft launched Nano enterprise loans for shopkeepers & retailers on the back of Loan Against Property which we launched in Q1. We have seen good demand for these products and we will scale up these business lines as we progress.”

Spandana Sphoorty Financial is a rural-focused non-banking financial company and a microfinance lender (NBFC-MFI) with a geographically diversified presence in India. The company offers income generating loans under the joint liability group (JLG) model, predominantly to women from low-income households in rural areas.

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