Net Interest Margin is one of the metrics that signifies the profitability, efficiency, and performance of a bank by measuring and comparing the interest income generated from credit products such as loans, and mortgages, and the interest expenses associated with holding deposits and other liabilities.
Here are some of the top small finance banks with high net interest margins
ESAF Small Finance Bank
ESAF Small Finance Bank Limited is engaged in providing banking and financial services through three business segments i.e., treasury, wholesale banking, and retail banking. It is primarily focused on providing loans to rural and semi-urban customers.
With a market capitalization of Rs. 3,192 Crores, the shares of ESAF Small Finance Bank were trading at Rs. 62.02, down 0.37 percent from its previous day’s close price of Rs. 62.25.
As of Q3FY24, ESAF Small Finance Bank Limited has reported a Net Interest Margin of 10.9 percent and a CASA Ratio of 18.9 percent.
Its total income from operations grew by 39.90 percent from Rs. 782.19 Crores in Q3FY23 to Rs. 1,094.35 Crores in Q3FY24, accompanied by increasing profits of Rs. 37.41 Crores to Rs. 112.14 Crores.
Ujjivan Small Finance Bank
Ujjivan Small Finance Bank Limited is a leading Indian-based small finance bank catering to financially unserved and underserved segments and committed to building financial inclusion in the country. Its business segments include retail banking, wholesale banking, and treasury operations.
With a market capitalization of Rs. 10,230 Crores, the shares of Ujjivan Small Finance Bank were trading at Rs. 52.24, up 2.01 percent from its previous day’s close price of Rs. 51.21.
As of Q3FY24, Ujjivan Small Finance Bank Limited has reported a Net Interest Margin of 8.8 percent and a CASA Ratio of 25.5 percent.
Its total income from operations grew by 35.62 percent from Rs.1,220.54 Crores in Q3FY23 to Rs. 1,655.39 Crores in Q3FY24, accompanied by increasing profits of Rs. 293.19 Crores to Rs. 300.06 Crores
Utkarsh Small Finance Bank
Utkash Small Finance Bank is engaged in providing a wide range of banking and financial services including Retail Banking, Treasury, Corporate Banking, and many more
With a market capitalization of Rs. 5,686 Crores, the shares of Utkarsh Small Finance Bank were trading at Rs. 51.74, up 0.74 percent from its previous day’s close price of Rs. 51.36.
As of Q3FY24, Utkarsh Small Finance Bank Limited has reported a Net Interest Margin of 9.7 percent and a CASA Ratio of 20.88 percent.
Its total income from operations grew by 24.80 percent from Rs. 711.99 Crores in Q3FY23 to Rs. 888.63 Crores in Q3FY24, accompanied by increasing profits of Rs. 93.50 Crores to Rs. 116.05 Crores
Equitas Small Finance Bank
Equitas Small Finance Bank is engaged in providing banking and financial services through three business segments i.e., treasury, wholesale banking, and retail banking. It is primarily focused on providing microfinance.
With a market capitalization of Rs. 11,440 Crores, the shares of Equitas Small Finance Bank Limited were trading at Rs. 100.90, up 1.31 percent from its previous day’s close price of Rs. 99.60.
As of Q3FY24, Equitas Small Finance Bank Limited has reported a Net Interest Margin of 9.01 percent and a CASA Ratio of 46.24 percent.
Its total income from operations grew by 34.39 percent from Rs. 1,216.03 Crores in Q3FY23 to Rs. 1,634.27 Crores in Q3FY24, accompanied by increasing profits of Rs. 170.12 Crores to Rs. 202 Crores.
Written by: Bharath K.S
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
