L&T Finance Q3 net profit rises 42% to Rs384 crore

L&T Finance had posted a net profit of Rs271 crore in the same period of the previous fiscal.

L&T Financial Holdings Ltd (LTFHL) on Thursday reported a consolidated net profit of Rs384 crore during the October-December quarter, a 42% rise from Rs271 crore during the corresponding period a year ago. The rise in profit was led by an increase in total revenues which rose from Rs2,162 crore to Rs2,701 crore during the period.

The company also said that its board will meet on 31 January to discuss fund raising plans. “Meeting of the board of LTFHL is scheduled to be held on Wednesday, January 31, 2018 to consider raising of funds inter alia by way of issuance of equity shares including but not limited to through preferential issue and/or qualified institutions placement, subject to such regulatory/statutory approvals as may be required, including approval of members of the company,” it said in a stock exchange notification.

In its lending portfolio, housing loan book witnessed a year-on-year growth of 49% and stood at Rs17,193 crore as on 31 December 2017. Overall, the lending business grew 23% year-on-year to Rs 75963 crore. Its rural finance books also grew 48% to Rs14,109 crore.

LTFHL’s gross non-performing assets ratio also improved from 9.01% during the third quarter last fiscal to 5.49%.

The firm has been streamlining its business and has sold or wound down some of its “defocused” businesses. Its defocused businesses include—construction finance, three wheeler finance and gold loans among others. It reduced its defocused book by 45% from Rs3,180 crore to Rs1,747 crore.