Geojit: Ujjivan Small Finance Bank Q1 Hurt By High Moratorium, Weak Asset Quality

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Geojit Research Report.Ujjivan Small Finance Bank Ltd. the wholly owned subsidiary of Ujjivan Financial Services Ltd. serves over 54.7 lakh customers through 524 branches and 17,370 employees spread across 244 districts of 24 states in India with gross loan book size of Rs.14,366 crore.Also, it has about 474 full-service banking outlets with a deposit base of Rs.11,057 crore.In Q1 FY21, Interest income witnessed a growth of 23% annualized driven by 22% YoY increase in advances.With close to 77% of the lending to microfinance segment, provisions saw a spike of 45% sequentially with respect to lockdown. Collection efficiency improved and as on July 30, 2020 stands at 59% indicating bank is planning to get to pre Covid-19 levels.For the quarter moratorium still stands at 47% magnifying the risk and going ahead expect better operational performance, but bottom line to hurt by higher provisioning in FY21E and FY22E..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Geojit: Ujjivan Small Finance Bank Q1 Hurt By High Moratorium, Weak Asset Quality

Geojit: Ujjivan Small Finance Bank Q1 Hurt By High Moratorium, Weak Asset Quality

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