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Ujjivan Small Finance Bank rises 5% on higher deposits, better asset quality

Total deposits grew 39 percent YoY to Rs 25,481 crore with the asset quality of Ujjivan Small Finance Bank improving. It also witnessed strong collections across all buckets.

April 06, 2023 / 11:12 IST
Ujjivan Small Finance Bank rises 5% on higher deposits, better asset quality
     
     
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    Shares of Ujjivan Small Finance Bank rose five percent on April 6 after the financier reported a robust quarterly update with a surge in deposits and disbursements. Further, improvement in asset quality aided gains in the stock.

    At 10:46 am, shares of the finance bank were trading 4.7 percent higher at Rs 27.80 on the BSE.

    Deposit momentum continues to be strong with March 2023 marking the Rs 25,000 crore milestone for the lender. Total deposits grew 39 percent YoY and 10 percent QoQ to Rs 25,481 crore while CASA grew 35 percent YoY and 11 percent QoQ.

    Robust growth in micro-banking, housing and financial institutions group led the total disbursement for the quarter to rise 23 percent YoY and 24 percent QoQ. Meanwhile, advances jumped 33 percent YoY and 10 percent QoQ to Rs 24,114 crore.

    Catch up on all LIVE stock market updates here

    Better collection efficiency and asset quality

    Ujjivan Small Finance Bank witnessed strong collections across all buckets including restructured and non-performing asset books.

    Collection efficiency remained at 100 percent as of March end of 2023 as compared to 99 percent as of January end.

    Gross non-performing assets further declined to 2.6 percent as of March 31, 2023, from 3.4 percent in the previous quarter and 7.1 percent on March 31, 2022.

    Moneycontrol News
    first published: Apr 6, 2023 11:12 am

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