Disbursements in Q3 were close to Rs 1,000 crore as compared to Rs 800 crore in Q2, Kamlesh Gandhi, Chairman and Managing Director of MAS Financial Services told CNBC-TV18 on Thursday (February 11).
MAS Financial posted weak results for the fourth straight quarter, where profit after tax (PAT) declined despite higher disbursals, while margins witnessed a sharp contraction.
Gandhi stated, "The disbursements in Q3 were close to Rs 1,000 crore as compared to Rs 800 crore in Q2 and we are seeing good recovery in Q4, but we have always been cautious on disbursements and our prime focus has always remained profitability and quality."
However, Gandhi added, we have almost reached normal levels of 96-97 percent in terms of collection efficiency.
According to him, net interest margins (NIMs) will normalise within two quarters. "The cost of fund in this quarter was 9.04 percent and the pressure on the NIMs is mainly because of the negative carry, which is now reducing. So within the next two quarters it will normalise and the pressure on NIMs will ease out," Gandhi said.
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(Edited by : Jerome Anthony)