Profectus Capital profit for H1FY24 rises by 129%

Net profit before tax for the half year up at Rs 32.80 crore, 129 per cent rise.

Profectus Capital (PCPL), an NBFC backed by Actis, a global private equity firm, announced impressive performance during the half year ended September 30, 2023. PCPL’s AUM stands at Rs 2,689 crore as of September 2023, up 44 per cent from September 2022.  The company commenced operations in November 2017 and has financed entities in various sectors such as education, pharmaceuticals, healthcare, food processing, engineering and machine tools, printing and packaging, textiles, chemicals, and plastics. Most of the customers with a turnover of Rs 30-300 million.

Commenting on the results, K V Srinivasan, Executive Director and CEO, Profectus Capital, said, “Our strong performance in this quarter reflects the strength of our distribution and credit processes. I believe that the time is ripe for us to reap the benefits of our investment in people, processes, technology and culture and increase the scale and profitability of our operations. The macro-economic factors are very positive for secured lending to MSMEs and Profectus Capital would endeavour to emerge as the most preferred financier to the sector over the next few quarters.”

While commenting on the credit rating upgrade to CARE A (Stable) he stated, ‘’The revised outlook accurately reflects our strong capital adequacy, prudent gearing levels, and our consistently low levels of non-performing assets (NPAs). We have shown sustained operational scale growth, with a return on total assets (ROTA) approaching 2 per cent, and our successful mobilization of equity capital for future business expansion.”

Profectus Capital (Profectus Capital) is a non-banking financial company (NBFC) that focuses on providing bespoke financial solutions to MSMEs in select manufacturing and services sectors. The company commenced operations in November 2017 and has financed entities in various sectors such as education, pharmaceuticals, healthcare, food processing, engineering and machine tools, printing and packaging, textiles, chemicals, and plastics. Most of the customers with a turnover of Rs 30-300 million. Profectus Capital has 28 branches in 28 cities across 13 states/union territories. Actis, a global private equity (PE) firm, holds a 100 per cent stake in the Company.