Net interest income improved by 8% to Rs 1,833 crore in Q3 FY24 from Rs 1,693 crore in Q3 FY23. Net interest margin in Q3 FY24 was 8.97% as against 7.41% in Q3 FY23.

The company reported pre-tax profit of Rs 824.04 crore in Q3 FY24 as compared with pre-tax loss of Rs 2,081.29 crore posted in Q3 FY23.

The company’s retail book now stands at 91% of the total loan book with strong retail disbursements of Rs 14,531 crore (up 25% YoY) and retail book at Rs 74,759 crore (up 31% YoY). The growth in retail disbursements was driven by a robust business model, strong growth across all retail segments coupled with topnotch digital and data analytics.

Rural group loans & micro finance registered healthy quarterly disbursements during Q3FY24 at Rs 5,476 crore, recording a YoY growth of 28%. As for the book, it saw a growth of 32% YoY and stood at Rs 23,110 crore as against Rs 17,485 crore in Q3FY23.

Farmer finance disbursements during Q3 FY24 stood at Rs 2,027 crore while witnessing a 32% growth on a sequential basis. The business growth was driven by proactive portfolio management using digital and data analytics. The book size grew 11% YoY and stood at Rs 13,845 crore as against Rs 12,447 crore in Q3 FY23.

Two-Wheeler finance disbursements during Q3FY24 registered highest ever quarterly disbursements in the quarter at Rs 2,540 crore, a growth of 18% YoY as compared with Rs 2,146 crore in Q3FY23. The book size grew 20% YoY at Rs 10,447 crore as against Rs 8,716 crore in Q3FY23.

Personal loans witnessed disbursements to the tune of Rs 847 crore in Q3FY24 as against Rs 1,228 crore in Q3FY23. During the quarter, the book size grew by 36% to Rs 6,427 crore from Rs 4,719 crore in Q3FY23.

Home loans and loans against property (LAP) disbursements showed sustained growth momentum in Q3FY24 and witnessed growth of 67% to Rs 1,998 crore from Rs 1,199 crore in Q3FY23. As for the book size, it saw a growth of 33% in Q3FY24 to Rs 16,654 crore as against Rs 12,513 crore in Q3FY23.

SME Loans registered robust growth with Q3FY24 disbursements at Rs 965 crore as against Rs 538 crore in Q3FY23. During the quarter, the book size reached the milestone of over Rs 3,000 crore, primarily driven by increased geographical presence and expansion of channel ecosystem through digital initiatives.

Meanwhile, the company’s board has approved the appointment of Sudipta Roy as the managing director & chief executive officer of the company for a period of five years with effect from 24 January 2024.

It also approved the re-designation. of Dinanath Dubhashi as the whole-time director of the company with effect from 24 January 2024 until 30 April 2024 pursuant to his resignation as the managing director & chief executive officer of the company, with effect from 23 January 2024 (end of the day).

Sudipta Roy, managing director and chief executive officer of L&T Finance Holdings, said, “With Retailisation at 91%, we have transitioned to a Retail NBFC straddling the Rural and Urban ecosystem. Going forward, our key focus will be on making Lakshya goals sustainable by ensuring that our performance is consistent and predictable.

To achieve this, we have concentrated our attention on executing strategy basis 5 key pillars, namely enhanced customer acquisition through funnel creation and contiguous/new products, sharpening credit underwriting by moving from a mono-axis underwriting to multi-axis underwriting i.e, credit bureau plus account aggregator and orthogonal signals, creating futuristic digital architecture, heightening brand visibility through increased share of voice, and capability building by ramping up tech talent.”

L&T finance holdings offers financing for two-wheelers, consumer goods, homes, farm equipment, women entrepreneurs, rural groups, real estate, and infrastructure. It provides financing for small and medium enterprises through term loans and overdraft facilities.

The scrip shed 1.16% to Rs 157.90 on the BSE.