SKS Microfinance's results impressive; Renamed as Bharat Financial Inclusion

SKS Microfinance has declared its Q4FY16 results. On a (QoQ) basis the Net Income from Operations has increased by 7 per cent and stands at Rs 329.76 crores as compared to Rs 307.25 crores for the previous quarter ended. EBITDA has increased by 2 per cent and stands at Rs 206.5 crores as compared 202.4 crores for the previous quarter.Net Profit has seen a surge of 6 per cent and stands at Rs 84.47 crore as compared to 79.5 crores on a quarter ended basis.

On a (YoY) basis the total income from operations stands at Rs 1169.13 crores as compared to 723.96 for the previous year. The Net Income has increased by 27 per cent. EBITDA margin also has seen a double digit growth. EBITDA margin stands at Rs 735.29 crores as compared to 398.07 crores for the previous year. EBITDA margin has increased by 1.85 times, as compared to the previous year. Net Profit for the year stands at Rs 302.98 crores which has increased by 61 per cent from the previous year.

On a CAGR basis, over a period of three years, the Net Income from Operations and EBITDA has grown by 27 and 36 per cent respectively. Net Profit has also grown by 27 per cent in the last 3 years.
SKS Microfinance Limited has decided to change its corporate name to (Bharat Financial Inclusion), subject to regulatory and corporate approvals. The new name Bharat, according to the company, emphasizes on its vast rural network across the country

The shares on the bourses are trading at Rs 592, down by (0.70) per cent. The shares are down due to volatile market movement and there may be a possibility that the shares may recover from their lower end.

SKS Microfinance Limited (SKS) is an Indian non-banking finance company. The company is engaged in providing micro finance services to individuals from poor segments of rural India. The Company offers people access to basic financial services, such as loans; savings; money transfer services; and micro insurance.