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ESAF Small Finance Bank has posted a 41 per cent growth in net profit at 130.42 core for the half year ended September 30, 2020, against the ₹92.44 crore posted in the same period last year.

KPaul Thomas, Managing Director and CEO of ESAF Small Finance Bank, said: “The bank has performed well during the period and I believe the results show that the micro-entrepreneurs are in a recovery mode after the Covid-19-induced slow down, indicating a positive sign for the economy altogether.”

Total business increased by 35 per cent to ₹15,582 crore. Deposits increased by 35.38 per cent to ₹8,208 crore and advances by 34.70 per cent to ₹7,374 crore. Gross NPAs, as a percentage of gross advances, decreased from 1.76 per cent as of September 30, 2019, to 1.32 per cent as of September 30 this year. The net NPA, as a percentage of net advances, reduced from 0.62 per cent to 0.19 per cent this year.

The provision coverage ratio improved to 93.45 per cent from 81.53 per cent. The CRAR was 24.29 per cent with Tier I CRAR of 21.10 per cent against a regulatory requirement of 15 per cent and 7.50 per cent, respectively.

On the impact of Covid 19, Thomas said: “The bank’s customers have shown immense resilience in the face of adversity. I believe the bank has taken suitable steps and sufficient safeguards to support the customers to tide over the crisis and bring them back to normalcy.”

The bank opened 29 branches during the half-year, giving it a total of 483 branches across 19 States and two Union Territories.

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