Repco Home Finance has announced a significant growth of 23.13 percent in its net consolidated profit for the quarter ending December 30, 2023. According to a filing with the Bombay Stock Exchange (BSE), the company's profit after tax (PAT) soared to Rs 994.4 million in Q3 FY24, compared to Rs 807.6 million in the corresponding quarter of the previous fiscal year.
During the said quarter, the company's net consolidated total income surged to Rs 3.93 billion, marking an 18.85 percent increase from Rs 3.30 billion reported in the similar quarter last year.
Loan sanctions witnessed a notable growth of 4%, reaching Rs 7.77 billion in Q3 FY24, while loan disbursements rose to Rs 7.59 billion as opposed to Rs 6.96 billion in Q3 FY23. Notably, the loan spread maintained at 3.4%, and the return on assets stood at 3.1% during this quarter.
As of December 31, 2023, Repco Home Finance's overall loan book amounted to Rs 131.85 billion. The company's loans to the non-salaried segment accounted for 51.3% of the outstanding loan book, while loans to the salaried segment constituted 48.7%. Housing loans comprised 75.6% of the loans, with home equity products making up the remaining 24.4% of the outstanding loan book.
However, the company also disclosed its non-performing assets (NPA) figures, indicating gross NPAs amounting to Rs 618 crore and net NPAs totaling Rs 2.47 billion as of December 31, 2023. The gross NPA ratio stood at approximately 4.7%, with the net NPA ratio at about 1.9% of the loan assets.
Moreover, Repco Home Finance reported provisions for expected credit losses totaling Rs 5.28 billion, equivalent to 4.1% of the total loan assets. The company's capital adequacy ratio stood at 34.7%.
The company's latest financial results indicate a robust performance amidst evolving market conditions, with steady growth in key financial metrics and prudent risk management practices.
