Suryoday Small Finance Bank reports healthy growth in Q4 update; stock zooms over 13%

Suryoday Small Finance Bank share price: Shares of Suryoday Small Finance Bank surged over 13 per cent in the morning deals on Thursday (April 4), rallying for the fourth consecutive session. The stock drew buying interest a day after the company released its Q4 business update.

As of 11:01 a.m., shares of Suryoday Small Finance Bank traded 10.52 per cent or Rs 17.65 higher, at Rs 185.4 apiece on the BSE. The market capitalisation of the company at around the same time stood at Rs 1,961.39 crore.

On Wednesday, after market hours, the microfinance bank released its Q4 business update, in which it said the company's gross advances increased 41 per cent to Rs 8,650 crore against Rs 6,114 crore registered in the year-ago period.

As per the filing, the bank's total deposits for the fourth quarter ended March 31 stood at Rs 7,775 crore against Rs 5,167 crore in the year-ago period. 

Furthermore, the current account savings account (CASA) ratio, indicating the proportion of low-cost deposits in the bank's overall deposit mix, stood at 20.1 per cent, showing an increase from 18.5 per cent in the previous quarter and 17.1 per cent in the corresponding period last year.

The lender witnessed robust growth in all performance parameters, both sequentially and on a year-over-year basis. The disbursements in FY’24 stood at over Rs 6,900 crore as compared to Rs 5,083 crore seen in FY23 (YoY growth of 36 per cent), on the back of continued momentum in Vikas Loan as well as Retail Assets disbursements. 

"The bank is committed to building a strong retail liability book. The CASA ratio has improved by 1.6 per cent [from 18.5 per cent to 20.1 per cent, and retail deposits grew by approx. Rs 800 crore on a quarter-on-quarter (QoQ) basis," the filing read.

Suryoday Small Finance Bank share price: Past performance 

In a year, Suryoday Small Finance Bank shares gained over 84 per cent as against Nifty50's rise of over 27 per cent. 

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