AU Small Finance Bank Ltd Q4FY21 net profit drops QoQ to Rs. 168.97 crore

AU Small Finance Bank Ltd has reported financial results for the period ended March 31, 2021.

Financial Results (Q4 FY20-21) - QoQ Comparison

The company has reported total income of Rs.1569.01 crores during the period ended March 31, 2021 as compared to Rs.1924.52 crores during the period ended December 31, 2020.

The company has posted net profit / (loss) of Rs.168.97 crores for the period ended March 31, 2021 as against net profit / (loss) of Rs.479.02 crores for the period ended December 31, 2020.

The company has reported EPS of Rs.5.45 for the period ended March 31, 2021 as compared to Rs.15.54 for the period ended December 31, 2020.

Financials	Q4 FY20-21	Q3 FY20-21	% Change
Total Income	₹ 1569.01 crs	₹ 1924.52 crs	-18.47%
Net Profit	₹ 168.97 crs	₹ 479.02 crs	-64.73%
EPS	₹ 5.45	₹ 15.54	-64.93%

Financial Results (Q4 FY20-21) - YoY Comparison

The company has reported total income of Rs.1569.01 crores during the period ended March 31, 2021 as compared to Rs.1366.59 crores during the period ended March 31, 2020.

The company has posted net profit / (loss) of Rs.168.97 crores for the period ended March 31, 2021 as against net profit / (loss) of Rs.122.32 crores for the period ended March 31, 2020.

The company has reported EPS of Rs.5.45 for the period ended March 31, 2021 as compared to Rs.3.97 for the period ended March 31, 2020.

Financials	Q4 FY20-21	Q4 FY19-20	% Change
Total Income	₹ 1569.01 crs	₹ 1366.59 crs	14.81%
Net Profit	₹ 168.97 crs	₹ 122.32 crs	38.14%
EPS	₹ 5.45	₹ 3.97	37.28%

Financial Results (Year ended FY 20-21) - YoY Comparison

The company has reported total income of Rs.6401.59 crores during the 12 months period ended March 31, 2021 as compared to Rs.4991.97 crores during the 12 months period ended March 31, 2020.

The company has posted net profit / (loss) of Rs.1170.68 crores for the 12 months period ended March 31, 2021 as against net profit / (loss) of Rs.674.78 crores for the 12 months period ended March 31, 2020.

The company has reported EPS of Rs.37.86 for the 12 months period ended March 31, 2021 as compared to Rs.22.32 for the 12 months period ended March 31, 2020.

Financials	Year Ended FY20-21	Year Ended FY19-20	% Change
Total Income	₹ 6401.59 crs	₹ 4991.97 crs	28.24%
Net Profit	₹ 1170.68 crs	₹ 674.78 crs	73.49%
EPS	₹ 37.86	₹22.32	69.62%

- Overall cost of funds for FY21 was at 6.8% - reduced by 86bps over FY20

- Incremental cost for FY21 was at 5.9% - down by 140 bps over FY20

- GNPA increased to 4.3% from 3.7%* QoQ

- Increase driven by 1.5% pool of customers who are <90 dpd and paying but were Once NPA and have been tagged as NPA due to Hon'ble Supreme Court vacating the stay on NPA tagging; We expect majority of ONAN pool to regularize

- 90+ dpd NPAs reduced to 2.7% as on 31-Mar'21 from 3.3% as on 31-Dec'20

- Total provision of Rs 1,037 Cr which is 2.9% of gross advances

- Provision coverage of 50% on GNPL; ~60% PCR against >90 dpd GNPL

- Total provisions include ₹ 70 Cr of contingency provision

- PAT of Rs 1,171 including profits from sale of Aavas, up 73% YoY; ex-Aavas PAT at ₹ 600 Cr

- Equity raised through Qualified Institutions Placement (₹ 625 Cr) and proceeds from sale of Aavas stake of (₹ 651 Cr) helped further strengthen the Balance Sheet; Tier 1 ratio increased to 21.5% from 18.4%

- Delivered RoA of 2.5% in FY21 (including profit from sale of Aavas stake) and 1.3% (excluding profits from Aavas stake)

- Delivered RoE of 23.4% in FY21 (including profit from sale of Aavas stake) and 12.0% (excluding profits from Aavas stake)

Commenting on the performance, Mr. Sanjay Agarwal, MD & CEO, AU Small Finance Bank said, "Despite the challenging context especially in the H1FY21, our performance has been extremely resilient. We were able to keep our asset quality in check, strengthen our Balance sheet, increase granularity of our deposits, and significantly bolster our branch banking and digital properties. We are working on various digital initiatives to create a best-in-class customer centric Tech-led Bank. Our recent capital raise strengthens our positioning to take advantage of the opportunities that lie ahead of us.

We feel truly humbled to be able to serve the nation as an essential service provider in trying times. Situation on the ground is evolving with the second wave of infections, we are hopeful that with the ongoing vaccination drive, and actions taken by the Government situation will stabilize in the near future."

Shares of AU Small Finance Bank Ltd was last trading in BSE at Rs.1123.95 as compared to the previous close of Rs. 1148.95. The total number of shares traded during the day was 133814 in over 6628 trades.

The stock hit an intraday high of Rs. 1185 and intraday low of 1115.4. The net turnover during the day was Rs. 152476745.

Source : Equity Bulls

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