Ujjivan Small Finance Bank Ltd.’s share price plunged as analysts reduced their target prices as well as earnings projection, after a 29% decline in the net profit in the quarter ended September 2024.
The private lender earned a net profit of Rs 233 crore, compared to Rs 328 crore in the year-ago period. The 29% decline was largely due to higher provisioning. Analyst consensus estimate compiled by Bloomberg was Rs 289 crore.
However, the total income rose to Rs 1,820 crore in the quarter under review from Rs 1,580 crore in the same period a year ago. Net interest income advanced 15% to Rs 944 crore, as against Rs 823 crore last year.
On a sequential basis, gross non-performing assets were flat at 2.52%, while net NPA rose 15 basis points to 0.56%.
The results came during market hours on Thursday and the scrip closed lower.
Content retrieved from: https://www.ndtvprofit.com/markets/ujjivan-small-finance-bank-share-price-plunges-after-q2-profit-dip-hits-earnings-projection.
