Suryoday Small Finance Bank rallies 6% on 6-fold surge in Q1 net profit

Shares of Suryoday Small Finance Bank rallied 6 percent intraday on August 11 on the back of solid Q1 results. At 11:44am, the stock was quoting 3.24 percent higher at Rs 184.24 on the NSE.

The SFB on August 10 reported a six-fold jump in net profit to Rs 47.6 crore for the first quarter of the current financial year, helped by a decline in bad loans. The lender had reported a net profit of Rs 7.8 crore in the April-June quarter of 2022-23.

The bank’s total income increased to Rs 409 crore in the first quarter of the current fiscal as against Rs 295 crore in the same period a year ago, it said in a regulatory filing.

Follow our live blog for all the market action

The bank’s net interest margin for the quarter jumped 10.1 percent from 9.1 percent a year ago, while its net interest income stood at Rs 225 crore as against Rs 177 crore.

The bank’s gross non-performing assets (NPA) of the total advances eased to 3.04 percent in the April-June quarter from 10.3 percent last year. Its net NPA, too, declined to 1.63 percent from 5.02 percent last year. Capital adequacy ratio of the bank declined to 32.65 percent in June 2023 from 36.37 percent.

Shareholding Pattern

Suryoday Small Finance Bank has a market capitalisation of Rs 1,990 crore. Public owns a majority 56.34 percent in the bank, while promoters have a 23.3 percent holding. DIIs and FIIs own the remaining 18.67 percent and 1.68 percent stake.

Stock Performance

The Suryoday Small Finance Bank stock has given a return of 75.82 percent over the last six months. Consequently, the stock has outperformed the Nifty Bank index considerably that has given a return of 7.90 percent over the same duration.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.