Capital first Q3 FY16 NII up by 53%

Capital first (CLF) reported its Q3 FY16 result on Thursday Feb 11. It has seen steady rise in asset under management (AUM)   which stands at Rs. 14,972.8 crore as on December 2015; its retail loan portfolio is 85.25% of it, which grew 30% from Rs 9,842 crore to Rs 12,764 crore. 

CFL’s consolidated net income was driven by higher net interest income that grew 53% yoy to Rs 217.57 crore from Rs 142.44 crore. This was supported by the growth in fee income, which grew 35% to Rs 44.77 crore, from Rs 33.06 crore. Its gross NPAs and net NPAs stand at 0.89% and 0.46% respectively and consolidated net profit is up by 49% yoy to Rs. 44.5 crore from Rs. 29.9 crore. 

Company chairman V Vaidyanathan attributed the higher bottomline to a steady growth in advances and steady asset quality and stated they will continue to focus on the retail financing and strengthen it further. 

On 9M FY16, CFL’s consolidated net interest income grew 45% yoy to Rs. 562.6 crore from Rs 388.3 crore. Its fee income and other income grew 42% to Rs. 122.9 crore, from Rs. 86.30 crore. Consolidated net profit is up by 52% yoy to Rs. 118.4 crore up from Rs. 77.9 crore. 

The share price of CFL declined by 2.78 per cent on bourses in early trades on Friday; and is trading at Rs 367.6 on an intraday basis.

CFL has transformed from a Wholesale Lending NBFC to a strong Retail Lending NBFC in the last 5 years. It has emerged as a significant player in the Indian Retail Financial Services within 5 years of launch with Retail Loan Book crossing Rs. 12,764 crore. CFL’s Asset Quality is among one of the best in the Indian Financial Services Industry, even during difficult macro-economic periods.