Mumbai-based Fino Payments Bank witnessed a rise of 74.7% in its net profit for the quarter-ended September (Q2FY23), to Rs 13.8 crore compared to Rs 7.9 crore seen during the corresponding quarter previous year. It's net interest income rose 167% year-on-year to Rs 9.6 crore.
The bank's Q2 revenue climbed 25% on a year-on-year basis to Rs 303 crore, with a higher annualized contribution from current and savings account (CASA) services in its product mix. Its CASA renewal income grew by 153% YoY, while new CASA subscription income was about 51% higher in the same period. The bank’s total account base stood at 59.5 lakh, as of 30 September.
The company did not disclose its non-performing asset (NPA), debt or tax expense figures in its Q2 financial review.
"Q2 marks completion of 21 quarters in our banking journey. The performance during the first half of FY23, even in the midst of macroeconomic challenges, makes us confident of a strong H2FY23," said Rishi Gupta, managing director and chief executive officer, Fino Payments Bank.
The Blackstone-backed payments bank’s shares were trading at Rs 195 per share in mid-day trade on BSE, about 2% lower from yesterday's close, following its financials' announcement.
Fino Payments Bank listed on bourses in November 2021 at a discount of 5% to its issue price, at around Rs 544 apiece. The stock has since shed a little over 63% to trade at levels around Rs 200 amid a significant rout seen in new age companies listing on public markets through H2FY22 and FY23 so far.
Its revenue from cash management services (CMS), a high margin product for Fino, touched Rs 24.2 crore from Rs 13 crore y-o-y. Throughput rose two-fold to touch Rs 10,464 crore owing to the addition of partners from 30 June to 30 September.
Overall subscription revenues contributed about 30% to overall income in Q2 as against a contribution of 25% in the last quarter.
Fino Paytech, the parent entity of Fino Payments, is backed by investors such as Blackstone, ICICI Group, Bharat Petroleum and the International Finance Corporation (IFC).
The bank, in April, announced its plans to make minority strategic investment in the fintech startup Paysprint Private Limited to acquire 12.19% stake by way of subscription to its share, its first after its listing.
Fino is a wholly-owned subsidiary of Fino Paytech Ltd, and is backed by Blackstone, Life Insurance Corporation of India (LIC), Bharat Petroleum Corp Ltd, and Intel Capital, among others. The bank listed on the bourses in November last year with a Rs 1200-crore IPO size.
