The NBFC saw its profit after tax increase by 21.72% year-on-year to ₹380 crore, while total income rose 32.7% to ₹
2,386 crore.
Disbursements during the year stood at ₹8,398 crore, marking a 16% rise, driven by growth in car, tractor and MSME lending.Commercial vehicle loans comprised the largest share of the company’s assets under management (AUM) at 37.9%, followed by MSME loans at 23.1% and car loans at 20.4%. SK Finance maintained a strong capital adequacy ratio of 29.51%, comfortably above regulatory requirements.
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Founded in 1994 by Rajendra Kumar Setia to address the lack of institutional credit for small traders and transporters in Rajasthan, the company has focused on rural and semi-urban segments, targeting underserved borrowers in Tier-II and Tier-III cities.
In September last year, SK Finance got Sebi’s clearance to float ₹2,200 crore initial public offering (IPO). The IPO is a combination of a fresh issue of equity shares worth ₹500 crore and an offer-for-sale (OFS) of up to ₹1,700 crore by promoters and investor shareholders.
As a part of the OFS, Norwest Venture Partners X-Mauritius and TPG Growth IV SF PTE Ltd will offload shares worth ₹700 crore each, Evolvence Coinvest I will divest shares to the tune of ₹75 crore and Evolvence India Fund III Ltd will sell shares worth ₹25 crore.
Additionally, Promoters – Rajendra Kumar Setia and Rajendra Kumar Setia Huf – Will Offload Shares Aggregating to ₹180 crore and ₹20 crore, respectively.
SK Finance plans to utilise proceeds from the fresh issue for augmenting the capital base to meet future business requirements of the company towards onward lending and for general corporate purposes.
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