New Delhi, Jun 11: Small-ticket loan provider Moneyboxx Finance Limited (MBFL) on Friday said it disbursed Rs 55.44 crore loans during the financial year ended March, 2021, posting a growth of 63.5 per cent year-on-year.
The BSE-listed NBFC, which mainly focuses on borrowers in essential sectors like livestock and kirana, had distributed loans worth Rs 33.91 crore during 2019-20.
The company’s loan book stood at Rs 61.88 crore at end-March 2021, recording a growth of 111.3 per cent.
“Focus on borrowers in essential sectors has helped MBFL build a strong book with negligible NPAs and maintain high collection efficiency even during Covid pandemic,” said Deepak Aggarwal, Co-CEO & CFO of MBFL.
Aggarwal further said that MBFL’s total income from operations during 2020-21 was Rs 10.97 crore compared to Rs 3.75 crore in the preceding year, reporting a growth of 192.4 per cent despite the impact of the pandemic that led to almost NIL growth in AUM in H1FY21.
“MBFL expanded its operations in FY21 by adding 11 new branches spread across Rajasthan, Haryana, Punjab and Madhya Pradesh during the third quarter.
“It expanded its presence to leverage its position in these states drawing comfort from robust asset quality and high collection efficiency of over 95 per cent during moratorium period despite COVID-19 pandemic,” he said.
As per the financial results posted by MBFL on the BSE, the company’s loss before tax for the quarter ended-March 2021 was Rs 1.39 crore compared to Rs 1.15 crores in the third quarter mainly on account of annual provision for gratuity and loan write-offs.
Loss before tax for 2020-21 was Rs 3.89 crore compared to loss before tax of Rs 3.41 crore in 2019-20.
With recognition of deferred tax assets of Rs 0.91 crores in 2020-21, net loss for the year was Rs 2.97 crore compared to net loss of Rs 3.55 crore.
As per the company, the losses were incurred due to build stage cost in first two years of operations though the loss would have been negligible in 2020-21 without COVID.
Gross NPA ratio was 0.21 per cent as of March 31, 2021 compared to Nil as of March 31, 2020. Net NPA ratio was 0.11 per cent as of March 31, 2021 compared to Nil as of March 31, 2020.
MBFL expects to be profitable from the start of H2FY22 or earlier despite COVID impact in the first quarter of the current financial year as AUM (Asset under management) will continue to increase while cost remaining fixed to a large extent, Aggarwal said.
The company also diversified its funding sources by adding 7 new lenders in January-March quarter of 2020-21 and 12 new lenders in the entire year, taking the total lender count to 14 as of March 2021. It had raised a total debt of Rs 41.5 crore in 2020-21.