disbursements

The NBFC’s disbursements increased 116 per cent YoY and seven per cent QoQ and 100 per cent of them were made through an organic route, up from 97 per cent in the second quarter of FY23

On a consolidated basis, Poonawalla Fincorp had a 116 per cent increase in total disbursements from the third quarter of the financial year (FY) 2022 to Q3FY23 to Rs 3,980 crore. The NBFC’s disbursements increased 116 per cent YoY and seven per cent QoQ and 100 per cent of them were made through an organic route, up from 97 per cent in the second quarter of FY23.

Consolidated Assets Under Management (AUM) increased by 28 per cent YoY and five per cent QoQ to reach Rs 19,550 crore as of 30 December 2022. Despite a substantial decline in the terminated loan book, the NBFC saw an increase in AUM. On-book discontinuation was around Rs 800 crore as of 31 December 2022. In accordance with its management vision for 2025, the corporation would make an effort to keep the NNPA below one per cent. 

According to the company, as of 31 December 2022, it has roughly Rs 4,850 crore in liquid assets. Poonawalla Fincorp’s total disbursement increased by eight per cent to roughly Rs 3,370 crore in Q3 FY23 from Rs 3,110 crore reported in Q2 FY23 on a standalone basis. As of December 31, 2022, AUM increased by 28 per cent YoY and six per cent  QoQ, totalling over Rs 13,940 crores.

In the press release, Poonawalla Fincorp stated, “During Q3 FY23 (standalone), we continued our strong growth momentum by achieving the highest ever quarterly disbursement through 100 per cent organic route, acquiring the highest customer base with best-in-class asset quality, and continuing to be among the lowest cost of funds.”

Direct, Digital, and Partnerships’ (DDP) share increased to 56 per cent in Q3 FY23 from 47 per cent in Q2 FY23, 34 per cent in Q1 FY23, and 17 per cent in Q4 FY22, continuing its positive trend. The company stated on 14 December, 2022 that it would sell Poonawalla Housing Finance to TPG (Perseus SG Pte., a company connected to TPG Global, LLC), for a valuation of Rs 3,900 crore, pending regulatory approval. The transaction aims at maximising the shareholders’ value in the long term as Poonawalla Fincorp (standalone) will continue to focus on building a Tech-Led and Digital-First financial services company, with leadership in consumer & MSME financing.