Suryoday SFB’s PAT Down 9.8% At Rs45 Cr

Gross Advances Portfolio of Rs9,360 Cr, up 35.2% YoY

Baskar Babu Ramachandran, MD & CEO, Suryoday Small Finance Bank

FinTech BizNews Service

Mumbai, 25 October, 2024: Suryoday Small Finance Bank Bank has announced its Q2FY25 Results. It has reported PAT Rs 45.4 Cr; NII Increase by 35.7% at Rs300 Crores | Advances witnessed a 35.2%. to Rs9,360 Crs.

Gross Advances Portfolio of Rs9,360 Cr, up 35.2% YoY Pre provision Operating Profit of Rs 126.9 Cr, up  34.5% YoY

Profit After Tax of Rs 45.4 Cr, down 9.8% YoY

ROA of  1.4%, ROE of  9.4%, GNPA of 2.9%, NNPA of 0.8%

Financial Highlights: Q2 FY25

• Total income increased by 27.4% YoY from Rs 272.8 Cr to Rs 347.4 Cr
• Net interest income (NII) increased by 35.7% YoY from Rs 221.0 Cr to Rs 300.0 Cr
• Pre-provision operating profit (PPOP) increased by 34.5% YoY from Rs 94.3 Cr to Rs 126.9 Cr
• Cost of Funds stood at 7.6% in Q2FY25 as compared to 7.5% in Q2FY24
• Cost to income stood at 63.5% in Q2FY25 as compared to 65.4% in Q2FY24.
• Profit After Tax (PAT) decreased by 9.8% YoY from Rs 50.3 Cr to Rs 45.4 Cr

Business Highlights: Q2 FY25

• Gross Advances stood at Rs. 9,360 Cr in Q2FY25 as compared to Rs 6,921 Cr in Q2FY24, an increase of 35.2% year on year
• Disbursements stood at Rs. 1,682 Cr in Q2FY25 as compared to Rs 1,598 Cr in Q2FY24, an increase of 5.2% year on year
• Disbursement continues to be stable across all segments supported by significant traction in wheels and mortgages segments.
• Deposits stood at Rs. 8851 Cr in Q2FY25 as compared to Rs. 6387 Cr in Q2FY24, an increase of 38.6% year on year.
• Current bucket Collection efficiency (overall) stood at 98.2%in Q2FY25 as compared to 99.1% in Q2FY24. Collection efficiency (1 EMI adjusted) stood at 93.1% in Q2FY25 as compared to 96.0% in Q2FY24.

Commenting on the performance, Mr. Baskar Babu Ramachandran, MD & CEO, Suryoday Small Finance Bank, said:  “The bank delivers a reasonable steady performance in H1 FY25, driven by growth in advances and deposits. Vikas Loan saw steady growth, supported by strong traction in the wheels and mortgages segments. On deposit mobilisation side industry is facing  competition and to tackle this challenge we have been constantly upgrading and innovating our product portfolio. We remain focused to improve our deposit base by gradually increasing share of retail deposits, as on September 2024 our retail deposits stood at 80.2% of the total deposits.

Overall the industry is passing through a difficult phase of asset quality deterioration but we through our prudent underwriting and robust risk management were able to maintain healthy asset quality, our GNPA has remained stable to 2.9% in Q2FY25 and our NNPA which stood at 1.4% in Q2FY24 has improved to 0.8% in Q2FY25. The bank continues to cover its eligible unsecured portfolio under the CGFMU scheme to mitigate risks.

We as an institution believe in digital innovation to cater to the changing needs of our customers. Our Inclusive Finance loan disbursement process is completely digital and paperless. On the deposits front, we have invested in digital banking infrastructure which helps us source digital deposits through various platforms.

In parallel, we continue to focus on widening our reach by adding new branches each year across the country. During the quarter, we opened our very first retail banking branch in the Jaipur which signifies our commitment to expand the footprint in northern India. We have also opened Smart Banking Outlets (SBOs) in certain micro markets. These SBOs are customer touch points which offer all banking services but have a focused target segment within ~ 2 km radius. We remain committed to deliver better performance across all business performance parameters and going forward the bank will keep on investing in branches, people, and technology to serve the economy better. 

Business Highlights: H1 FY25

• Gross Advances stood at Rs 9,360 Cr in H1FY25 as compared to Rs 6,921 Cr in H1FY24, an increase of 35.2% year on year
• Disbursements stood at Rs 3,421 Cr in H1FY25 as compared to Rs 2,787 Cr in H1FY24, an increase of 22.7% year on year
• Disbursement continues to be strong across all segments supported by significant traction in Vikas Loans, wheels and mortgages segments.
• Vikas Loan disbursement stood at Rs 942 Cr in H1FY25 as compared to Rs 787 Cr in H1FY24, an increase of 19.6% year on year
• Deposits stood at Rs. 8,851 Cr in H1FY25 as compared to Rs. 6,387  Cr in H1FY24, an increase of 38.6% year on year
• Share of retail deposits stood at 80.2% in Sept’25, as compared to 77.6% in Sept’24
• CASA ratio stood at 17.9% as on Sept’25, compared to 15.7% in Sept’24
• Collection efficiency (1 EMI adjusted) stood at 93.9% in H1FY25 as compared to 96.0% in H1FY24
• The Bank has ~32.4 lakh customers as on September’25, as compared to ~25.1 lakh customers in September’24, an increase of 29% 

Financial Highlights: H1 FY25

• Total income increased by 29.6% YoY from Rs 548.5 Cr to Rs 710.8 Cr
• Net interest income (NII) increased by 33.1% YoY from Rs 445.8 Cr to Rs 593.2 Cr
• Pre-provision operating profit (PPOP) increased by 28.3% YoY from Rs 211.4 Cr to Rs 271.2 Cr
• Cost of Funds stood at 7.6% in H1FY25 as compared to 7.2% in H2FY24
• Cost to income stood at 61.8% in H1FY25 as compared to 61.5% in H1FY24.
• Profit After Tax (PAT) increased by 17.9% YoY from Rs 97.9 Cr to Rs 115.5 Cr
• Gross NPA remains stable at 2.9% as on Sept’25, compared to Sept’24
• Net NPA stood at 0.8% as on Sept’25, compared to 1.4% in Sept’24
• Healthy capital position with a CRAR at 24.9%; Tier I capital of 23.5% and Tier II capital of 1.4%