Shares of this smallcap company jumped around 5 percent in Wednesday’s trading session after reporting an increase in net profits by 32 percent YoY. The shares have delivered a multibagger return of 141 percent to its shareholders in one year.
With a market capitalization of Rs. 3,152 crores, the shares of Repco Home Finance Ltd started Wednesday’s trading session on a higher note at Rs. 516 compared to its previous close of Rs. 483.45. During the trading session, the shares hit a high of Rs. 525, gaining around 5 percent and are currently trading at Rs. 502 apiece.
Such a positive movement in the share price was observed after the company announced quarterly and financial year ended 31st March 2024 results. Quarterly, the Net interest income (NII) remained unchanged for the quarter at Rs. 172.3 crores. On the other hand, the net profits increased by 9 percent from Rs. 99.44 crores during the December quarter to Rs. 108.07 crores in the March quarter.
Comparing these metrics on a YoY basis, the NII increased by 11 percent from Rs. 154.7 crores during Q4FY23 to Rs. 172.3 crores in Q4FY24. In addition, the net profits zoomed by 32 percent from Rs. 82.10 crores to Rs. 108.07 crores during the same period.
Loan disbursements during the quarter were 7 percent higher at Rs 895 crores against Rs 835 crore. Total loans portfolio grew 8.5 percent year-on-year to Rs 13,513 crores at the end of March from Rs 12,449 crore a year back.
Furthermore, the company’s asset quality improved with the gross non-performing assets ratio falling to 4.1 percent at the end of the reporting cycle from 5.8 percent as of March 31, 2023.
Additionally, the board of directors of the company have recommended a dividend of Rs.3 per equity share of the face value of Rs.10 each to the shareholders of the Company for the financial year 2023-24, subject to approval of the shareholders.
According to the BSE data, Ace Investor Mrs Dolly Khanna entered the stock in March 2024, by acquiring approximately 6.93 lakh equity shares equivalent to a 1.11 percent stake in this company. The current holding value of his investment amounts to Rs. 34.9 crores.
In terms of key financial metrics, the company reported a Return on Equity (RoE) of 15.8 percent and a Net Interest Margin of 5.2 percent for the period spanning FY23-24.
Headquartered in Chennai, Repco Home Finance was incorporated in 2000. The company is a specialized housing finance institution that caters to home loans and loans against the property needs of individuals and small businesses across India.
Written By Vaibhav Patil
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