Poonawalla Fincorp's shares rallied approximately 15.24 percent on May 13 on the BSE to Rs 249.50 apiece. The strong gain in the prices of shares came soon after the company announced its assets under management or AUM soared to nearly Rs 16,579 crore for the current financial year. The company registered a growth of nearly 17 percent for Financial Year 2022 while disbursements rose by 158 percent over Financial Year 2021.
Poonawalla Fincorp declared a growth of Rs 492 crore in its consolidated profit before tax as against the previous financial year 2021 loss of Rs 759 crore. The company's net profit also zoomed higher to Rs 375 crore. The net interest margin registered a rise of 65 bps year on year to settle at 8.9 percent.
The rating of Poonawalla Fincorp Shares has registered a boost as well as it has been upgraded by brokerage ICICI Securities with a new target price of Rs 261 apiece from the previous price of Rs 214.
The brokerage firm also said that the current financial year has become a pathbreaking year for Poonawalla Fincorp as the company has successfully complied to its specified strategy.
Poonawalla Fincorp is currently undergoing a business transformation phase.
Poonawalla Fincorp was previously known by the name of Magma Fincorp. The non-banking finance firm concentrates mainly on consumer and MSME financing presently. The announcement of name change came in the previous year and became effective in the current financial year.