IDFC records net profit growth of 28.8%

Mumbai, Jan 19 | Updated: Jan 20 2007, 06:00am hrs
One of the major player in the infrastructure funding space, Infrastructure Development Finance Company (IDFC) has recorded a net profit growth of 28.8%, which amounted to Rs 115.15 crore for the quarter ended December 2006 as against to Rs 89.40 crore in the corresponding quarter last year. For the period of nine months, the company has posted a net profit of Rs 411 crore, an increase of 33% over the corresponding period previous year.

Speaking on the rising interest rates, Rajeev Lal, managing director, IDFC said, Cost of funds have gone up and so has the asset yields, hence we have able to maintain our net interest margin at 2.9%. Further Lal added that any major turbulence in the debt market could be a cause of temporary concern.

In the span of first nine months the company has approved 81 projects with gross approvals amounting to Rs 9,105 and the gross disbursements amounted to Rs 5,348 crore. The companies net interest income (NII) from infrastructural loans for the first nine months of year 2006-07 increased by 35% to Rs 295 crore from Rs 218 crore in the period from April 1 to December 31, 2005. The Earnings Per Share (diluted) for the quarter increased to Rs 1.02 per share from Rs 0.78 in the corresponding quarter previous year, indicating an increase of 26%.