Gold Loan business drives IIFL Net Up 19% to Rs 61.90 Crore

Non-banking finance company India Infoline Finance (IIFL) reported a 19 per cent rise in its net profit at Rs 61.9 crore helped by higher growth in it gold loan portfolio.

"Higher growth in gold loan portfolio helped us to see this uptick in our profits during the quarter," R Venkataraman, managing director, India Infoline Group said.

For full year, the profit after tax of the IIFL grew 11.5 per cent to Rs 210.4 crore from Rs 188.7 crore.

On consolidated basis, IIFL group's net profit marginally grew 2.2 per cent to Rs 278.1 crore as against Rs 272.2 crore in FY'14.

IIFL's gross NPAs stood at 0.86 per cent as of March 31 compared with 0.49 per cent, while net NPAs stood at 0.33 per cent as against 0.17 per cent.

"Sluggish growth in the economy led to rise in our NPAs last year, but we think worst is behind us now," Venkataraman said.

IIFL's loan book grew 16 per cent in FY14 to Rs 10,890 crore from Rs 9,387 crore.

The NBFC's portfolio comprises of mortgages, property loans, capital market products, gold loans, commercial vehicle loans and medical equipment financing.

The company's net interest margins for the quarter was 7.5 per cent and the spread was 6.7 per cent.