MSME-focused non-banking financial company (NBFC) UGRO Capital on Thursday announced its second quarter performance for the financial year 2024-25 with assets under management (AUM) growing to over Rs 10,200 crore from Rs 7,592 crore during Q2 FY24 and Rs 9,218 crore during Q1 FY25. The company had reported a profit after tax (PAT) of Rs 30.4 crore in the first quarter of current fiscal. The second quarter update didn’t disclose the PAT and NPA ratio.
Meanwhile, the company said it recorded the highest-ever quarterly net loan originations of Rs 1,970 crore during Q2, growing by 72 per cent from Rs 1,146 crore in Q1 FY25. Lending to micro enterprises also surged to Rs 450 crore in Q2 in comparison to Rs 209 crore in the previous quarter.
UGRO’s total debt stood at over Rs 5,300 crore during Q2 FY25, growing from Rs 3,798 crore during Q2 FY24 and Rs 4,529 crore during Q1 FY25. Its gross and net NPA as of June 2024 were 2 per cent and 1.2 per cent of total AUM respectively.
Speaking on the results, Shachindra Nath, Founder and Managing Director of UGRO Capital, said the company has raised over Rs 900 crore in 2018, Rs 340 crore in 2023, and Rs 1,265 crore in 2024, and has a network of 210 branches with a workforce of around 3,500 employees.
“As we continue to grow, our focus remains on empowering MSMEs, encapsulated in our core belief – MSME Accha Hai – to unlock even greater opportunities for growth and development across the sector,” he said in a statement.
The company said it achieved its highest quarterly co-lending volume of Rs 600 crore, up from Rs 337 crore in Q1 FY25, with its co-lending partnerships expanding to nine banks and seven NBFCs. It aims to capture the 1 per cent market share of MSME credit over the next three years.