SKS Microfinance 3rd Quarter Unaudited Results

Reuters:

SKS Microfinance, India's largest and only listed microfinance lender, said on Monday it posted a 38 percent drop in net profit for Oct-Dec to 341.55 million rupees on total income of 3.85 billion rupees.

The firm, which lends to poor borrowers, mostly women, has raised it provisions and write-offs in the quarter to 1 billion rupees from 116.1 million rupees a year ago, it said.

The provision includes 587.4 million rupees relating to the Andhra Pradesh (AP) portfolio and 269.8 million rupees in accordance with guidelines for the microfinance sector provided by a panel appointed by India's central bank.

The company continues to assess the adequacy of provision on the AP portfolio due to the continued evolving environment, with no precedence, following the enactment of AP (MFI) Act and the resultant impact on the field operations in AP."