Breaking News
1. Andhra: Vizag Police bust cybercrime racket, arrest three for trafficking youth to Cambodia, Myanmar, and Thailand      2. Irish business tycoon and rugby record breaker Tony O'Reilly dies at 88      3. Georgia's president vetoes Foreign Influence Law      4. 'Unhinged,' 'crooked': Trump and Biden trade campaign trail barbs      5. Tourists wounded in deadly Afghanistan shooting are stable: Hospital      6. Saudi crown prince meets White House national security adviser      7. 9 killed, 17 injured as bus catches fire in Haryana      8. One killed, four injured in clash in Latur      9. Libyan armed groups clash near capital Tripoli      10. Fire breaks out in Gurugram slum, 65 shanties gutted      11. Alabama Mercedes employees overwhelmingly vote against joining union, slowing UAW effort in South      12. Putin concludes a trip to China by emphasizing its strategic and personal ties to Russia      13. Extreme Maximum temperatures reported on May 17      14. Indian foreign secretary on a official visit to Uk from 16-17 May      15. 'Monitoring welfare of Indian students in Bishkek,' says EAM Jaishankar      16. Nilgiri Mountain Railway (NMR) Line obstructed by mud & boulders, says Divisional Railway Manager      17. BJP expels Odisha leader Bijoy Mohapatra for 'anti-party activities'      18. Fire breaks out at Delhi airport      19. Uttarakhand-bound bus carrying pilgrims from Maharashtra catches fire in MP; none hurt      20. Delhi: Fire breaks out at a factory in Kirti Nagar Industrial Area     

Banking on Progress: NBFCs Report Exceptional Q2 Gains Amid Robust Advances

  • Posted on November 9, 2023
  • Marketplace
  • By TSW NEWS DESK
  • 155 Views

In the realm of financial services, the second quarter of 2023 has unveiled remarkable growth as banks' advances to Non-Banking Financial Companies (NBFCs) continued their robust upward trajectory. The credit exposure of these banks to NBFCs reached a substantial Rs 14.2 lakh crore in the September 2023 quarter, marking a significant 26.3 percent year-on-year increase.

Banking on Progress: NBFCs Report Exceptional Q2 Gains Amid Robust Advances Image Source -www.poonawallafincorp.com

In the realm of financial services, the second quarter of 2023 has unveiled remarkable growth as banks' advances to Non-Banking Financial Companies (NBFCs) continued their robust upward trajectory. The credit exposure of these banks to NBFCs reached a substantial Rs 14.2 lakh crore in the September 2023 quarter, marking a significant 26.3 percent year-on-year increase.

This noteworthy expansion in credit exposure serves as a testament to the thriving progress observed in NBFCs in the post-pandemic era. Moreover, the proportion of NBFC exposure relative to aggregate credit has risen from 8.9 percent in the September 2022 quarter to 9.4 percent in September 2023.

As banks consistently extend their credit to NBFCs over the past five years, a prominent financial services player, UY Fincorp, has reported an astounding 90 percent surge in net sales during the second quarter of the current financial year. Net sales have soared to Rs 29.10 crore, a remarkable increase from Rs 15.28 crore in the September 2022 quarter.

Notably, UY Fincorp's quarterly net profit has skyrocketed to Rs 51.17 crore, marking a staggering growth of more than 1500 percent from the previous financial year's corresponding quarter, which recorded Rs 3.05 crore. EBITDA has also seen a sharp increase, reaching Rs 69.02 crore.

Also Read: Ethics Panel Urges Lok Sabha To Expel Mahua Moitra Amid CBI Probe

In line with these impressive financial results, UY Fincorp's shares exhibited robust performance, closing in the green with a three percent gain at Rs 25.85 on BSE, as reported by exchange data. Over the past year, the stock has witnessed a remarkable increase of 112.93 percent.

NBFCs, vital components of the financial lending sector, are regulated by the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI). They play a significant role in the economic landscape by offering crucial credit support to micro, small, and medium enterprises (MSMEs).

Author
No Image
Author
TSW NEWS DESK

You May Also Like