The company's AUM at Rs10,112 crore, is up 6% Q/Q from Rs9,565 crore in Q1 FY25
FinTech BizNews Service
Mumbai, 18 October, 2024: IndoStar, a middle-layered non-banking finance company (NBFC) registered with
the Reserve Bank of India, announced its financial results for the quarter September 30th, 2024, earlier today.
The company AUM at Rs10,112 crore, is up 6% QoQ from Rs9,565 crore in Q1 FY25. At a consolidated level, the
Company delivered a PAT of Rs32 crore for Q2 FY25.
Progress on key initiatives:
Sale of IndoStar Home Finance to EQT: On September 19, 2024, IndoStar Capital Finance Limited (Indostar)
announced the sale of its wholly owned subsidiary, IndoStar Home Finance Private Limited (IHFPL) to
WITKOPEEND B.V., an affiliate of BPEA EQT Mid-Market Growth Partnership (“EQT”), a global private equity
investor, for Rs1,750 crore on a fully diluted basis. The transaction is subject to customary conditions precedent,
including receipt of RBI approval, consent from lenders and shareholders’ approval.
Sale of Stressed Pool: On August 27, 2024, IndoStar sold a pool of assets from its legacy corporate loan book
and Commercial Vehicle business worth Rs357 crore to Pridhvi Asset Reconstruction and Securitisation Company
Limited (“PARAS”).
Issue of Secured, Redeemable, Non-Convertible Debentures (NCD’s): During the quarter, the company
raised Rs266 crore through its maiden public issue of Secured, Redeemable, Non-Convertible Debentures.
Rating upgraded by CRISIL to ‘Stable’: On September 9, 2024, the long-term rating of IndoStar Capital Finance
Limited's (ICFL's) facilities and instruments was upgraded by ratings agency CRISIL, to ‘Stable’ from ‘Negative’
while reaffirming the rating at ‘CRISIL AA- and short-term rating of commercial paper is reaffirmed at 'A1+’.
(Standalone) Financial performance
ICFL delivered a PAT of Rs 18 crore in Q2 FY25. The AUM for ICFL stands at Rs 7,550 crore out of which the retail vehicle
finance business is Rs 6,964 crore. Disbursements during the quarter stood at Rs 1,462 crore, up 40% from Rs 1,048
crore in Q2 FY24. With a focus on collections through the quarter, Gross Stage 3 remains flat at 4.97% in Q2 FY25;
Net Stage 3 stood at 2.50%. The company maintained a strong Capital Adequacy Ratio (CAR) of 25.86% on a
standalone basis. Debt equity ratio stood at 2.26x.
Financial Performance
IHFPL delivered a PAT of Rs 14 crore in Q2 FY25 aided by AUM growth and securitization transactions. The AUM
in IHFPL stands at Rs 2,562 crore in Q2 FY25, up 35% from Rs1,894 crore in Q2 FY24. IHFPL continues to deliver
on its core strategy of providing affordable housing loans in semi-rural and rural markets, while maintaining
healthy asset quality. The company reported Gross Stage 3 assets at 1.41%. IHFPL has a Capital Adequacy Ratio
(CAR) of 55.68%.
Key Performance Highlights (ICF Standalone):
Particulars (Rs in crore) | Q2FY25 | Q1FY25 | Q-o-Q % | Q2FY24 | Y-o-Y % |
Net Revenue from operations | 166 | 144 | 15% | 104 | 60% |
Operating expenses | (129) | (112) | 15% | (94) | 37% |
Pre-provision operating profit | 37 | 32 | 16% | 9 | 311% |
Profit after tax | 18 | 11 | 64% | 11 | 64% |
CAR (%) Standalone | 25.9% | 27.7% |
| 33.1% |
|
Leverage (D/E) | 2.7x | 2.3x |
| 1.8x |
|
Key Performance Highlights (HFC Standalone):
Particulars (Rs in crore) | Q2FY25 | Q1FY25 | Q-o-Q % | Q2FY24 | Y-o-Y % |
Net Revenue from operations | 54 | 49 | 10% | 55 | (2%) |
Operating expenses | (33) | (28) | 18% | (34) | (3%) |
Pre-provision operating profit | 21 | 21 | 0% | 20 | 5% |
Profit after tax | 14 | 14 | 0% | 15 | (7%) |
CAR (%) Standalone | 55.7% | 56.2% |
| 70.8% |
|
Leverage (D/E) | 3.2x | 2.6x |
| 1.5x |
|
