Abhishek Securities

  Small finance banks  may face losses cumulatively in FY21 as their growth is projected to more than halve to 10-15 per cent as compared with 30 per cent last financial year, credit rating firm  ICRA   NSE -0.08 %  said. The loss at consolidated level may be due to their elevated operating costs and high credit costs of around 3.5 per cent-4 per cent. ICRA has projected an equity requirement of Rs 5,000-6,000 crore for these banks if they like to achieve a CAGR of 15-20 per cent till FY2023 and to absorb expected losses and maintain gearing levels at 7-8 times. “SFBs would need external capital not only to manage  Covid-19  related credit costs and medium term growth but also to manage the regulations related to reducing promoter shareholding below 40 per cent," ICRA's head for financial sector ratings, Supreeta Nijjar said. Till date,  Ujjivan Small Finance Bank   NSE -1.44 %  and  AU Small Finance Bank   NSE -0.11 % ...

Suryoday Small Finance Bank (SSFB) reported a 28 per cent increase in FY20 net profit at Rs 111 crore against Rs 87 crore in FY19. A break-up of the Bank’s results shows that 77 per cent of the net profit (or Rs 85 crore) came in the first half in FY21 vis-a-vis 45 per cent (or Rs 39 crore) in the year ago period. Net interest income (difference between interest earned and interest expended) was up 45 per cent in FY21 at Rs 491 crore against Rs 339 crore in FY20. Other income rose 30 per cent to Rs 87 crore against Rs 67 crore. Sandip Ginodia , Director   A LTIUS INVESTECH PVT LTD We deal in over 60 unlisted companies with 15 years of experience . For latest prices visit :  www.abhisheksecurities.com/unlisted.htm  / call : 09830271248 . Email :  ginodiasandip1@gmail.com