Poonawalla Fincorp AUM Grows 17% To Rs 16,575 Crore In FY22

Poonawalla Fincorp Ltd's assets under management (AUM) rose by 17 per cent to Rs 16,575 crore in the financial year ended March 2022 (FY22). This was the first full financial year after Poonwalla group acquired ownership of the erstwhile Magma Fincorp Ltd second half of Fy21.

Sequentially, it rose by nine per cent over AUM at the end of December 2021. The finance company has set a target of having AUM of about Rs 45,000 crore by 2025.

The AUM for the housing finance subsidiary Poonawalla Housing Finance Limited crossed the Rs 5,000 crore milestone, PFL said in a statement.

The disbursements for Q4FY22 were about Rs 3,330 crore and for FY22 they stood at Rs 9,490 crore.

The above information is provisional and subject to audit by the statutory auditors of the Company.

PFL said Q4FY22 witnessed significant improvement in organic disbursements across all products. The positive trend is expected to continue in the coming quarters supported by change in the product mix and the momentum gained on the distribution pillars of direct, digital and partnerships.

The collection efficiency continued an upward trajectory and stood at approximately 108.4% in March 2022 vis-a-vis 99.1% in December 2021. The gains in collections have led to a significant improvement in March 2022 asset quality metrics over March 2021.

As for asset quality, the company expects the gross non-performing assets (NPAs) below three per cent and net NPAs below 1.2 per cent for year ended March 2021. This is in line with the management vision 2025 to bring down Net NPAs below one per cent.

The company remains well capitalized with Capital adequacy (Standalone) of more than 49 per cent as March 31, 2022.

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor