Review

VLS FINANCE LTD

Ticker : 511333
FV: ₹ 10
52-Week H/L: ₹ 264.85/71.2

We recommended VLS Finance Limited in volume no. 38, issue no. 14 (dated January 24, 2022) when the scrip was trading at Rs 218.85. On the quarterly front, the net interest earned by the bank in Q3FY22 came in at Rs 2.22 crore as against Rs 1.68 crore in Q3FY21, an increase of 32.14 per cent. The total income in Q3FY22 was Rs 17.83 crore from Rs 67.93 crore reported in Q3FY21. The profit after tax declined to reach Rs 15.31 crore in Q3FY22 from Rs 73.88 crore in Q3FY21. Moody's Investors Service expects India's economy to continue recovering in the next 12-18 months with GDP growing 9.3 per cent in the fiscal year ending March 2022 while 7.9 per cent in the following year. This is expected to bring strong traction in the financial services sector. VLS Finance has been making use of available opportunities in the capital markets, keeping in view its business objectives. Hence, we recommend HOLD.