NORTHARCNSENorthern Arc Capital LimitedMediumNeutral
Announced Tue, 20 May · 10:38 IST

Northern Arc Capital Limited has informed the Exchange about Investor Presentation

Mgmt Guided Margin ImprovementInvestor Communications View source PDF

NORTHARC · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Northern Arc Capital reported FY25 results with Profit After Tax of INR 305 Cr (marginally down from INR 308 Cr in FY24), but excluding a one-time DLG provision of INR 68 Cr, PAT grew 15% to INR 356 Cr. Pre-Provision Operating Profit (PPoP) rose 46% YoY to INR 791 Cr, supported by NIM expansion to 9.1% (from 8.3%) and a 33% growth in Net Interest Income to INR 1,147 Cr. AUM grew 16% to INR 13,634 Cr, with Direct-to-Customer (D2C) lending now 52% of AUM. GNPA stood at 0.93% and Net NPA at 0.36%, while RoA was 2.4% and RoE was 10.0% (11.6% ex-one-time). The company raised INR 882 Cr in equity during the year, bringing networth to INR 3,434 Cr.

Likely market impact

Strong operating performance with margin expansion and PPoP growth is positive, but the one-time DLG provision and elevated Q4 credit costs (6.0%) may concern investors in the short term. Overall, the business is scaling well with improving profitability metrics and diversified lending portfolio.