Total income rose by 14% to Rs 2,175 crore in the second quarter as compared with the same period last year.

Net interest income improved by 11% to Rs 1,729 crore in Q2 FY24 from Rs 1,563 crore in Q2 FY22. Net interest margin in Q2 FY24 was 8.62% as against 6.90% in Q2 FY23.

The impairment charge on financial instruments for the period under review was Rs 396 crore as compared with Rs 405 crore in the same period last year, down 2% YoY.

Profit before tax in Q2 FY24 stood at Rs 799 crore, up 30% from Rs 613 crore in Q2 FY23.

L&T Finance said that its retail portfolio mix now stands at 88% of the total loan book with strong retail disbursement of Rs 13,499 crore (up 32% YoY) and retail book at Rs. 69,417 crore (up 33% YoY).

Rural Group Loans & Micro Finance registered its highest ever quarterly disbursements during Q2 FY24 at Rs 5,740 crore, recording a YoY growth of 30%. As for the book, it saw a growth of 37% YoY and stood at Rs 21,672 crore as against Rs 15,840 crore in Q2 FY23.

Farm Equipment Finance disbursements during Q2 FY24 saw a YoY growth of 18% at Rs 1,534 crore as compared with Rs 1,304 crore in Q2 FY23. The book size registered a growth of 13% YoY and stood at Rs 13,351 crore as against Rs 11,865 crore in Q2 FY23.

Two-Wheeler Finance disbursements during Q2 FY24 saw a YoY growth of 6% at Rs 1,817 crore as compared to Rs 1,721 crore in Q2FY23. Personal Loans segment continued to scale up while protecting portfolio quality with a disbursement of Rs 1,308 crore in Q2 FY24 (up 13% QoQ). During the quarter, the book size reached Rs 6,481 crore.

Home Loans and Loans against Property (LAP) disbursements showed sustained growth momentum in Q2 FY24 with Home Loan disbursements witnessing a YoY growth of 34% to Rs 1,356 crore while LAP disbursements registering disbursement of Rs 378 crore. As for the book size, Home Loan grew by 34% YoY and stood at Rs 12,216 crore whereas for the LAP business it saw a growth of 14% YoY and stood at Rs 3,038 crore as on 30 September 2023.

SME Loans also registered robust growth with Q2 FY24 disbursements at Rs 872 crore as against Rs 201 crore in Q2 FY23. During the quarter, the book size reached Rs. 2,413 crore.

The Wholesale book continued to witness an accelerated and steep reduction. As of Q2 FY24, the Wholesale book stood at Rs 9,318 crore, a reduction of 76% YoY.

Dinanath Dubhashi, managing director & CEO, L&T Finance Holdings, said, “After having achieved most of our Lakshya 2026 goals, it gives me immense pleasure to announce that we have continued the trajectory of metamorphosizing into a top notch retail finance company. During the quarter, LTFH not only reached a retail portfolio mix of 88%, but also achieved the highest ever quarterly retail disbursements of Rs 13,499 crore, registering a growth of 32% YoY.”

L&T Finance Holdings is a non-banking financial company (NBFC). The company offers rural group loans & micro finance, farm equipment loans, two-wheeler loans, personal loans, home loans & loan against property as well as SME Loans.

The scrip shed 0.14% to end at Rs 137.80 on the BSE on Friday.