Ugro Capital gains on positive Q1 update, AUM expands 36% YoY

Over the past year, shares of Ugro Capital gained around 23 percent.

Ugro Capital shares rose around three percent in the afternoon session on July 15, after the NBFC reported a positive business update for the quarter ended June 30, 2024.

The firm's assets under management (AUM) was up 36 percent at Rs 9,200 crore for the quarter, as against Rs 6,777 crore recorded in the same quarter during the year-ago period.

At 3.00 pm, Ugro Capital shares were quoting Rs 270.55 on the NSE, higher by 0.4 percent compared to the previous session's closing price.

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The gross loan origination was down 10 percent on-year at Rs 1,840 crore versus Rs 2,036 crore crore in the first quarter of FY24.

"Our liability profile continues to remain diversified, our total liabilities (excluding Direct Assignment) stood at Rs 4,500 crore as of June 2024," said Ugro Capital.

It added that borrowings from banks and NBFCs constitute roughly 41 percent and ten percent of its liability mix, respectively.

The firm achieved an off-book AUM of 45 percent as of June 2024, up 200 basis points from 43 percent in June 2023. Ugro Capital said it is on track to achieve stated business target of 50 percent off book AUM proportion.

Ugro Capital is a datatech NBFC focused on MSME lending. Over the past year, shares of Ugro Capital gained around 23 percent, underperforming the key Nifty 50 index that rose around 25 percent during the same time period.

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