Highlights:

. The company has crossed Rs 1000 crore profit after tax milestone for the first time in FY2018. Each of core businesses has grown at more than 30%. At a consolidated level, the company has recorded 33% growth in post tax profit after minority and pre-minority the post tax profit growth has been 41%.

. All core businesses are benefiting from the underlying mega trends for the financial services sector, which are positive, such as financialization of savings and sustained economic growth. This, supported by the best in class talent that the company is able to attract and retain, and continuous focus on technology, is helping to grow business at a sustained pace, maintain quality of assets as well as keep risk framework tightly under control.

. In NBFC business, loan AuM grew 40% yoy and 14% QoQ to Rs 31163 crore. Profit after tax grew by 33% yoy and 10% QoQ to Rs160 crore. Primary drivers of AUM growth are small ticket home loans (up 61% yoy), small ticket MSME loans (up 142% yoy) and microfinance loan (up 252% yoy). On the other hand, LAP and capital market loans were flat or declined yoy as planned.

. In home loans, focus remains primarily on the self-employed section, which constitutes nearly 60% of loan portfolio and home loans of ticket size under 28 lakhs. The company continued to focus on digitization of loan process with 40% of loans being on boarded and sanctioned on tablet application available with sales team.

. About 45% of HL, 60% of LAP, 90% of CV, 40% of SME and nearly all of MFI loans are PSL compliant. In aggregate nearly 40% of loans are PSL compliant, which the company can sell-down to banks at attractive rates. The share of securitized book currently stands at 11% of AuM.

. The company expects to continue to add close to 400-500 approved projects finance every quarter.

. Average cost of borrowing declined by 7 bps qoq and 44 bps yoy to 8.4%. NIM was at 7.1%, expansion of 23 bps qoq and 4 bps yoy. Lower borrowing cost and rising share of high yielding SME, gold, MFI loans helped support NIMs partially offset by higher share of lower yielding retail home loans.

. Cost-to-income ratio was 42.9% and opex to average loan book ratio at 3.54%.

. GNPAs were at 1.7% of loans and NNPAs were at 0.8% of loans, both having declined on sequential basis.

. In the wealth management business, PAT grew 37% yoy to Rs 103 crore. Assets under advice management and distribution have grown 3% on qoq and 39% yoy to reach Rs 1.32 trillion. The company hired 14 bankers during the quarter, taking the total number of bankers to 330, to further drive the growth momentum.

. The company expects to grow the asset base at a CAGR of about 25% to 30% every year in Wealth Management business and hoping to be able to deliver a 25% CAGR growth in profits.

. AIF assets grew 52% yoy to Rs 11736 crore end March 2018. The total commitment in ‘Special Opportunities Fund', which invests in pre-IPO and IPO situations, is now close to Rs 8700 crore.

. IIFL Wealth Finance, which offers loan against securities and margin funding to high networth individuals, grew its loan book 15% qoq and 85% yoy to Rs 6701 crore. Average lending rate for this book is around 10.3%.

. In the capital markets business, average daily cash turnover was up 39% yoy to Rs 1563 crore in Q4FY2018. Average daily total turnover, including F&O, was up 69% yoy to Rs 17455 crore. NSE market share in the cash segment remains around 4% and in total around 2%.

. The fee based income on wealth management side including asset management will be in the region of 65 to 70 bps.