Chennai, April 2023
The Board of Directors of Poonawalla Fincorp Limited, a non-deposit taking systemically important NBFC,focusing on consumer and MSME finance, todayannounced its audited financial results for the quarter and the year ended March 31, 2023.
Key Highlights – Q4FY23 (Standalone):
Assets:
• Highest ever quarterly Disbursements at ₹ 6,371crore, up 151% YoY and 89% QoQ.
• Assets Under Management (AUM) at ₹ 16,143 crore, up 37% YoY and 16% QoQ.
• Direct Digital Program (DDP) contribution in disbursements increased to 81% in Q4FY23 ascompared to 66% in Q3FY23 and to 24% inQ4FY22.
Asset Quality:
• Gross NPA at 1.44%, reduced 185 bps YoY and 25bps QoQ.
• Net NPA at 0.78%, reduced 52 bps YoY and 11 bpsQoQ.
Profitability:
• Highest ever PAT at ₹ 181 crore for Q4FY23, up103% YoY and 20% QoQ. For FY23, PAT stood at ₹585 crore, up 100% YoY.
• Highest ever Return on Assets (RoA) for Q4FY23at 5%, up 178 bps YoY and 53 bps QoQ. For FY23,RoA stood at 4.4%, up 172 bps YoY.
• Net Interest Margin (NIM) for Q4FY23 was at11.3%, an improvement of 87 bps YoY and 59 bpsQoQ. For FY23, NIM was at 10.7%, animprovement of 89 bps YoY.
• Operating expenses for Q4FY23 stood at ₹ 196 crore, down 4% QoQ.
• Operating Profit (PPOP) for Q4FY23 was at ₹ 212crore, up 84% YoY and 36% QoQ.
Dividend:
The Board has recommended a dividend of ₹ 2 pershare (100% of face value) for FY23, subject toshareholders’ approval.
Capital Adequacy and Liquidity:
• Capital Adequacy Ratio stood at 39% as of March31, 2023.
• Liquidity buffer stood at ₹ 3,001 crore as of March31, 2023.
Rating Upgrade:
CRISIL upgraded the long-term credit rating to AAA
Commenting on Poonawalla Fincorp’s performance, CA Abhay Bhutada, Managing Director, said “FY23 has been a year of exemplary performance across business growth, credit quality and profitability. Ourstrong fundamentals and execution are reflected in ourcredit rating upgrade to AAA by both CRISIL and CARE. We have led the way in building a real Fintech model atscale, with asset quality which is best-in-class, along with superior profitability. Our ability to innovate, understand future trends, deliver at pace, and build a strong digital eco-system, has made us a lender of choice. With an efficient cost of borrowing, lower operating cost, controlled credit cost and a branch-lite tech-led model, we are well poised to deliver a sustainable and exceptional performance.”