SKS Micro at 52 week high
Small loan provided SKS Microfinance is firmly up 4% since morning, now at Rs. 558, which is also the share’s new 52 week high, when the broader markets are marginally in the red, on the back of strong Q1FY16 earnings reported by the Hyderabad based lender, post market hours yesterday.
SKS Microfinance reported 22% QoQ rise in Q1FY16 revenue to Rs. 241 crore, despite 5% lower disbursement sequentially to Rs. 2,377 crore, while PAT jumped 51% QoQ to Rs. 61 crore, as operations became more efficient and provisions and write-offs contracted by a third sequentially, to only Rs. 7 crore. EPS for first quarter ended 30th June 2015 stood at Rs. 4.48, up from Rs. 4.29 in Q1FY15 and from Rs. 3.21 in Q4FY15.
Company’s non-AP/ non-Telangana loan portfolio ballooned 15% QoQ to Rs. 4,797 crore while networth increased to Rs. 1,115 crore, as of 30-06-15. With effect from 1-7-15, company has become MFI-NBFC charging the lowest interest rate of 22% pa on its core income generating loans, down from 23.55% earlier.
With financial performance improving every passing quarter, investor confidence in the company and its management is only rising, which is so well reflected in the stock performance, which has doubled in the past 12 months. Share’s 52 week low stands at Rs. 260.55 made on 14-08-14.