Mahindra Finance's rural arm eyes Rs 1000-cr biz this fiscal
"We have been doubling the book almost every year now and this year we hope to be faster. We are at around Rs 700 crore right now and it will grow to Rs 900-1,000 crore by end of the fiscal," managing director Ramesh Iyer said.
It was Rs 535.2 crore last fiscal, he added.
He said the company is targeting to take the book up to Rs 4,000 crore by end of FY15 as there is good demand for the company's offering.
Incorporated in 2007, Mahindra Rural Housing Finance (MRHF) offers loans for buying, renovating, extending and improving homes in rural and semi-urban amrkets and Iyer said the average loan size is of around Rs 1.5 lakh.
He said the network and customer portfolio of the parent Mahindra & Mahindra Financial Services is employed for the business.
MRHF's outstanding loan book had stood at Rs 676.7 crore as of the September quarter, up from the year ago's Rs 418.3 crore, according to an analyst presentation.
The company, which is owned 87.5 percent by the parent Mahindra Finance with the rest held by sector regulator National Housing Bank, had notched up a post tax profit of Rs 62 crore for the six months ended September 2012 as against the Rs 38 crore in the year-ago period.
It currently operates in nine states including Gujarat, Maharashtra, Andhra, Karnataka, Tamil
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