MAS Financial Services Limited Results - 2nd Quarter FY 20 A Robust Financial Performance

AHMEDABAD, India, Nov. 7, 2019 /PRNewswire/ -- The Board of Directors of MAS Financial Services Limited in their meeting held today took on record the unaudited Financial Results of the company for the Quarter ended 30 September 2019.

The robust financial performance even during this turbulent quarters extended from September 2018, is the testimony of the strong fundamentals of the company; which is being followed over two decades.

As per IND-AS

MAS Financial Services Limited reports Assets under Management (AUM) of Rs 5894.37 Crore and profit after tax of Rs 46.67 Crore for the quarter ended 30 September 2019 from Rs 4661.62 Crore and Rs 34.58 Crore respectively for quarter ended 30 September 2018 - A Growth of 26.44% and 34.95% over corresponding period of previous year respectively.

The Profit after tax for H1 is Rs 87.40 Crore- A growth of 34.37% over corresponding period of the previous year.

Performance Highlights:

Disbursement (Net) made during H1 FY 20 up by 18.60 % to Rs 2560.64 Crore from Rs 2159.14 Crore in H1 FY19.

Disbursement (Net) made during Q2 FY 20 up by 16.89 % to Rs 1359.97 Crore from Rs 1163.47 Crore in Q2 FY19. Assets under Management (AUM) as of 30 September, 2019 up by 26.44% to Rs 5894.37 Crore from Rs 4661.62 Crore as on 30 September, 2018 with Gross Stage 3 Assets and Net Stage 3 Assets as of 30 September, 2019 at 1.27 % and 1.06% respectively. The Gross Stage 3 Assets and Net Stage 3 Assets stood at 1.29 % and 1.06% as of 30 September, 2018.

Total Income for H1 FY 20 up by 27.83% to Rs 326.63 Crore from Rs 255.52 Crore in H1 FY 19. Total Income for Q2 FY 20 up by 23.19% to Rs 167.40 Crore from Rs 135.89 Crore in Q2 FY 19.

Profit After Tax for H1 FY 20 up by 34.37 % to Rs 87.40 Crore from Rs 65.05 Crore in H1 FY 19. Profit After Tax for Q2 FY 20 up by 34.95 % to Rs 46.67 Crore from Rs 34.58 Crore in Q2 FY 19.

Capital Adequacy Ratio (including Tier II capital) as of 30 September, 2019 stood at 26.88%. The Tier-I capital stood at 25.52%.

(Rs in CR)

Particulars

Q2'20

Q2'19

QoQ

H1'20

H1'19

HoH

FY 19

Assets Under Management

5894.37

4661.62

26.44 %

5894.37

4661.62

26.44%

5,338.37

Total Income

167.40

135.89

23.19 %

326.63

255.52

27.83%

572.58

Profit Before Tax*

49.94

53.67

-6.95 %

112.60

100.51

12.03%

233.93

Profit After Tax

46.67

34.58

34.95%

87.40

65.05

34.37%

152.11

Gross Stage 3 Assets % to

AUM

1.27%

1.29%

-0.02 bps

1.27%

1.29%

-0.02 bps

1.39%

Net Stage 3 Assets % to AUM

1.06%

1.06%

0.00 bps

1.06%

1.06%

0.00 bps

1.14%

Note: * The company adopted the policy of using the majority part of the tax benefit to further strengthen the quality of the portfolio by aggressively writing off the stage 3 Assets. The net stage 3 Assets on AUM improved to 1.06% as on Sept 19 against 1.14% as on June 19 and is maintained at the same level of 1.06 % as of September 18 (Pre- crisis period) despite of the significant stress experienced across all the segments of the economy during this period. The company registered a very healthy growth in it's PAT of 34.95% QoQ and 34.37% HoH.

(Rs in CR)

Asset Under Management (AUM)*

Sept-19

Sept-18

QoQ

Micro-Enterprise loans

3613.98

2942.16

22.83%

SME loans

1678.30

1139.05

47.34%

2-Wheeler loans

463.01

429.18

7.88%

Commercial Vehicle loans

139.07

151.23

-8.04%

TOTAL AUM

5894.37

4661.62

26.44%

*Represents underlying assets in each of the category. As on 30 September, 2019 58.03% of the total underlying assets is through various NBFCs.

Following information explains the net impact on income due to recognition of assigned portfolio based on INDAS:

(Rs in CR)

Sr. No.

Particulars

Q2 FY 20

Q2 FY 19

H1 FY 20

H1 FY 19

1

Upfront spread booked on present value basis on portfolio assigned during the year (based on INDAS)

24.19

20.01

44.22

35.57

2

Income booked on asset created out of spread receivable (based on INDAS)

1.54

1.12

3.08

2.27

3

Spread that would have been booked on assigned portfolio on amortization basis (based on I-GAAP)

25.78

19.81

51.64

39.92

4

Net Impact on income due to upfront booking of spread on the assigned portfolio (based on INDAS) (1+2-3)

-0.06

1.33

-4.33

-2.08

Dividend: In consonance to our policy of rewarding the shareholders the board has declared an interim dividend of 20% @ RS. 2 per share.

Note on MAS Rural Housing and Mortgage Finance Limited (Subsidiary)

The Board of Directors of MAS Rural Housing and Mortgage Finance Limited in their meeting held on 23rd October 2019 took on record the unaudited Financial Results of the company for the quarter ended 30 September, 2019.

As per IND-AS

MAS Rural Housing and Mortgage Finance Limited reports Assets under Management (AUM) of Rs 282.18 Crore and profit after tax of Rs 1.09 Crore for the quarter ended 30 September 2019 from Rs 237.82 Crore and Rs 1.02 Crore respectively for quarter ended 30 September 2018 - A Growth of 18.65% and 6.18% over corresponding period of previous year respectively.

The Profit after tax for H1 is Rs 2.20 Crore- A growth of 14.31% over corresponding period of the previous year.

Performance Highlights:

Assets under Management (AUM) as of 30 September, 2019 up by 18.65% to Rs 282.18 Crore from Rs 237.82 Crore as on 30 September, 2018 with Gross Stage 3 Assets and Net Stage 3 Assets as of 30 September, 2019 at 0.40 % and 0.30% respectively. The Gross Stage 3 Assets and Net Stage 3 Assets stood at 0.36% and 0.26% as of 30 September, 2018. Capital Adequacy Ratio (including Tier II capital) as of 30 September, 2019 stood at 35.29%. The Tier-I capital stood at 28.45%.

(Rs in CR)

Particulars

Q2'20

Q2'19

QoQ

H1'20

H1'19

HoH

FY 19

Assets Under Management

282.18

237.82

18.65%

282.18

237.82

18.65%

270.24

Total Income

9.73

7.47

30.16%

19.53

14.58

33.95%

32.41

Profit Before Tax

1.40

1.22

15.04%

2.83

2.42

17.10%

4.24

Profit After Tax*

1.09

1.02

6.18%

2.20

1.93

14.31%

2.65

Gross Stage 3 Assets % to AUM

0.40%

0.36%

0.04bps

0.40%

0.36%

0.04bps

0.36%

Net Stage 3 Assets % to AUM

0.30%

0.26%

0.04bps

0.30%

0.26%

0.04bps

0.26%

Note : * Profit After Tax growth is lower because of one time impact of Rs. 6.61 lakhs. due to tax rate change.

PWR

PWR

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