Ujjivan Small Finance Bank Ltd Q1FY22 loss at Rs. 233.48 crores

Ujjivan Small Finance Bank Limited has reported financial results for the period ended June 30, 2021.

Financial Results (Q1 FY 2021-22) - QoQ Comparison

The company has reported total income of Rs.716.29 crores during the period ended June 30, 2021 as compared to Rs.735.14 crores during the period ended March 31, 2021.

The company has posted net profit / (loss) of Rs.(233.48) crores for the period ended June 30, 2021 as against net profit / (loss) of Rs.136.49 crores for the period ended March 31, 2021.

The company has reported EPS of Rs.(1.35) for the period ended June 30, 2021 as compared to Rs.0.79 for the period ended March 31, 2021.

Financials	Q1 FY2021-22	Q4 FY20-21	% Change
Total Income	₹ 716.29 crs	₹ 735.14 crs	-2.56%
Net Profit	₹ (233.48) crs	₹ 136.49 crs	-271.06%
EPS	₹ (1.35)	₹ 0.79	-270.89%

Financial Results (Q1 FY 2021-22) - YoY Comparison

The company has reported total income of Rs.716.29 crores during the period ended June 30, 2021 as compared to Rs.774.98 crores during the period ended June 30, 2020.

The company has posted net profit / (loss) of Rs.(233.48) crores for the period ended June 30, 2021 as against net profit / (loss) of Rs.54.65 crores for the period ended June 30, 2020.

The company has reported EPS of Rs.(1.35) for the period ended June 30, 2021 as compared to Rs.0.32 for the period ended June 30, 2020.

Financials	Q1 FY2021-22	Q1 FY2020-21	% Change
Total Income	₹ 716.29 crs	₹ 774.98 crs	-7.57%
Net Profit	₹ (233.48) crs	₹ 54.65 crs	-527.23%
EPS	₹ (1.35)	₹ 0.32	-521.88%

Mr. Nitin Chugh, MD & CEO, Ujjivan Small Finance Bank said, "The onset of the second Covid wave and consequent restrictions and lockdowns lashed the industry, especially the microbanking sector which faced a severe stress. Our business and collection volumes were affected due to the restrictions on movement, resulting in a subdued overall performance in Q1 FY22. As a precautionary measure, floating provision of ₹250 crores has been created to absorb the impact of potential slippages in near future. We are hopeful that our customers will resurrect their livelihoods and continue to be resilient. We continued to diversify our asset book as a strategic approach; the non-MicroBanking portfolio grew to 32% and secured portfolio increased to 30%. In line with our growth strategy, retail branch banking performed strongly and now contributes to a substantial part of our total deposit book. As part of our commitment to provide a full range of banking services, non-binding MoU has been signed with a fin tech partner to enter into the credit card business. We continued to focus on our digital initiatives, driving digital collections (16% in Q1 FY22 against 11% in Q4 FY21) and encouraging contactless disbursement amidst the lockdown phase and our robust digital infrastructure and its optimal application sustained our business quite well in the crucial times.

Business momentum started building up since July both in terms of disbursement and collections. However, we are cautious about a potential impact on account of third Covid wave."

Shares of Ujjivan Small Finance Bank Limited was last trading in BSE at Rs. 27.4 as compared to the previous close of Rs. 27.45. The total number of shares traded during the day was 460795 in over 2206 trades.

The stock hit an intraday high of Rs. 27.9 and intraday low of 27.3. The net turnover during the day was Rs. 12706794.

Source : Equity Bulls

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