Shriram City Union posted a very disappointing set of numbers for Q4FY17, much below expectations. In fact analysts were predicting an overall increase in numbers but the company recorded a decline, with fall in asset quality too.

The company posted a sharp 78% drop in net profit at Rs.12 crore (YoY) from Rs.55 crore though NII was up 15% at Rs.713 crore. The drop in bottomline was mainly on account of the increase in provisions and write-offs at Rs.412 crore v/s Rs.256 crore in previous Q4 and Rs.224 crore in Q3.

The company’s Gross NPA deteriorated to 5.15% from 4.49% (QoQ) while Net NPA too rose from 0.57% to 1.56%. Auto loans and personal loans showed the highest slippages.