IndoStar Capital Finance on Thursday reported a multi-fold jump in net profit at Rs 24 crore for the quarter ended December 2020. Its net profit stood at Rs 0.2 crore in the same period a year ago.
The company's net revenues from operations, however, fell 16 per cent to Rs 157 crore as against Rs 186 crore in Q3 FY20, IndoStar said in a release. The retail focussed non-banking financial company said its assets under management (AUM) was flat at Rs 8,865 crore on account of gradual reduction in corporate lending book.
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The company said its retail disbursement has reached pre-COVID levels. "With the moratorium behind us, the company, with signs of an imminent economic recovery, has restarted it disbursements and quickly reached it pre-Covid disbursement levels in January 2021. Retail disbursements more than doubled from Rs 204 crore in Q2FY21 to Rs 477 crore in Q3FY21," it said.
The company's Executive Vice-Chairman and CEO R Sridhar said the announcement of a voluntary scrappage policy will completely revitalize the commercial vehicles sector and is a game changer. "We have charted a distinct trajectory of expanding our portfolio in the second-hand commercial vehicles, SME and affordable housing segments," he said.
Stock of the company closed 2.34 per cent higher at Rs 360.80 apiece on BSE.
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