Indiabulls Fin Services Q1 PAT soars 80 pc to Rs 133 cr

NEW DELHI: Indiabulls Financial Services on Saturday reported a 80 percent jump in profit after tax at Rs 133.58 crore for the three months ended June 30, boosted by higher loan disbursals.

In the year-ago period, the firm had a profit after tax (PAT) of Rs 74.07 crore, it said in a statement today.

The company said the good results is due to sustained momentum in loan disbursals and "declining cost-income ratio achieved through falling costs of borrowing of funds for disbursement".

Total revenues in the first quarter climbed to Rs 471.09 crore from Rs 395.99 crore in the same period a year ago.

"Fresh disbursements for the quarter were up 238 percent at Rs 3,188 crore from Rs 943 crore in Q1 FY'10," it noted.

Indiabulls Financial Services' CEO Gagan Banga said the company mainly focussed on home loan programme and mortgage loans accounted for 70 percent of the total disbursals.

"The company has witnessed a healthy pick up in disbursal volumes in the current quarter and we are well on track for our target loan asset growth of 50 percent in FY 11," he added.

According to the statement, the company's debt quality has increased through a planned shift towards longer termed debt at competitive rates.

The net worth of the firm stood at Rs 4,559 crore in the June quarter, an increase of 25.4 percent, as against the year-ago period.

In July, Indiabulls Financial Services raised Rs 1,260 crore through issue of debentures.