SIDBI's Net Profit Grew By Around 40%

The net profit of Small Industries Development Bank of India (SIDBI), the all India financial institution engaged in creating an integrated credit and development support ecosystem for micro & small enterprises, rose by 39.9 per cent in first nine months of this financial year in comparison to that in the last financial year.

The increase in profit is mainly due to higher income from increased portfolio.

“In a scenario when the banking sector is reeling under pressure, we have achieved encouraging growth in our financial performance. Credit demand to the MSEs sector continues to be strong. We expect to maintain the growth momentum as we continue to move forward with our SIDBI Vision 2.0 which aims to promote inclusive growth driven by deeper engagement with MSEs,” said Mohammad Mustafa, Chairman & Managing Director, SIDBI.

Since its formation in 1990, SIDBI has been impacting the lives of citizens across various strata of society through its integrated, innovative and inclusive approach. Be it traditional domestic industry, small units, bottom-of-the-pyramid entrepreneurs, medium enterprises to high-end knowledge-based industries and export promotions, SIDBI has directly or indirectly touched the lives of more than 360 lakh people in the MSEs sector, through various credit and developmental measures.

Nine months (April – December 2018) FY19 vs nine months (April – December 2017) FY18

• Total advances (net of provisions) recorded a growth of 61.3% YoY to Rs. 1,32,517.01 cr as on December 2018 from Rs. 82,150.40 cr as on December 2017.
• Operating profit (before provision) recorded a Year-on-Year (YoY) growth of 22.8% in 9MFY19 over 9MFY18.
• Net profit is higher by 39.9% in 9MFY19 over 9MFY18 mainly due to higher income from increased portfolio.
• Net Interest Income (NII) growth at 20.8% to Rs. 1,857.92 cr in 9MFY19 from Rs. 1,537.76 cr in 9MFY18.
• Non-interest income increased by 13.6% YoY to Rs. 355.25 cr in 9MFY19 from Rs. 312.81 cr in 9MFY18.