Q4FY18 Result: Bharat Financial on 52-week high

Bharat Financial Inclusion Limited, formerly known as SKS Microfinance Limited, reported stellar performance for FY18. Company’s profitability for the quarter as well as for the full-year witnessed robust growth.

The NII for the quarter jumped significantly by 76 per cent yoy and 10 per cent qoq to Rs. 358 crore in Q4FY18 as against Rs. 325 crore in Q3FY18 and Rs. 203 crore in Q4FY17. The interest income for the company grew by 46.6 per cent yoy to Rs. 539 crore in Q4FY18 vs Rs. 368 crore in Q4FY17. On the full year basis, the NII grew by 30 per cent yoy to Rs. 1,207 crore vs Rs. 931 crore in FY17. Further, the interest income grew by 23 per cent yoy to Rs. 1,917 crore vs Rs. 1,553 crore in FY17.

The provisions for the quarter declined massively by almost 99.8 per cent yoy, while declined by 92.7 percent qoq to Rs. 0.63 crore in Q4FY18 as against Rs. 334.56 crore in Q4FY17 and Rs. 8.6 crore in Q3FY18.

The net profit for the quarter came in at Rs. 210.5 crore as against net loss of Rs. 235 crore in Q4FY17. On the full year basis, the net profit jumped by 57 per cent yoy to Rs. 455 crore vs Rs. 290 crore in FY17.

Company has posted 38 per cent yoy growth in gross loan portfolio to Rs. 12,594 crore in Q4FY18 vs Rs. 9,150 crore in Q4FY17. Also, it has registered highest addition of customers in two consecutive quarters i.e. 11.5 lakh in Q4FY18 and 8.6 lakh in Q3FY18.

Its loan disbursements have shown 22 per cent qoq growth to Rs. 5,738 crore in Q4FY18 vs Rs. 4,712 crore in Q3FY18, and 26 per cent year-on-year growth to Rs. 18,472 crore in FY18 vs Rs. 14,667 crore in FY17.

The Company's guidance for FY19 is reiteration of its medium-term target of 45 per cent growth in loan portfolio, which will be primarily driven by customer acquisition.

On Tuesday, the stock opened at Rs. 1,169.10 per share and made 52-week high of Rs. 1,172, on the BSE.