Fusion Micro Finance, incorporated in the year 1994, is a Small Cap company (having a market cap of Rs 4056.42 Crore) operating in General sector.
Fusion Micro Finance key Products/Revenue Segments include Interest, Income From Financial Services, Income From Sale Of Share & Securities and Fees & Commission Income for the year ending 31-Mar-2022.
Financials
For the quarter ended 30-09-2022, the company has reported a Standalone Total Income of Rs 452.33 Crore, up 25.49 % from last quarter Total Income of Rs 360.45 Crore and up 69.34 % from last year same quarter Total Income of Rs 267.11 Crore. Company has reported net profit after tax of Rs 95.06 Crore in latest quarter.
The company’s top management includes Mr.Devesh Sachdev, Ms.Ratna Dharashree Vishwanathan, Ms.Namrata Kaul, Mr.Pankaj Vaish, Mr.Narendra Ostawal, Mr.Kenneth Dan Vander Weele. Company has Deloitte Haskins & Sells as its auditors. As on 31-12-2022, the company has a total of 10 Crore shares outstanding.
Investment Rationale
As per the brokerage’s view, the company is set to benefit from cyclical tailwinds in the sector as it comes out of the turbulence due to Covid 19 and NBFC-MFI as a class see expansion of market share versus banks. The company’s stable management, focus on technology to drive efficiency and ability at growing borrower base faster in comparison to peers should held the company in good stead as the sector is in a sweet spot when it comes to growth and asset quality.
The company’s performance with regard to outstanding restructured assets, write-offs have been relatively better than peers and the brokerage expects the same to sustain given its stringent underwriting practices.
Promoter/FII Holdings
Promoters held 68.18 per cent stake in the company as of 31-Dec-2022, while FIIs owned 5.32 per cent, DIIs 12.77 per cent.
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