IIFCL net profit expands by 47%
India Infrastructure Finance Company Limited (IIFCL) announced financial results for the year ended March 31, 2015. The company on a standalone basis registered a growth of about 47% in its net profit that grew to Rs 765 crore in FY 2014-15 compared to Rs 521 crore in the FY2013-14. IIFCL, under its Direct Lending Scheme, sanctioned Rs 7,737 crore during 2014-15, recording a growth of over 200%. During 2014-15, the company made incremental disbursements to the tune of Rs 7,350 crore registering a growth of 34%. Disbursement under IIFCL’s innovative Takeout Finance <g data-gr-id="30">scheme,</g> grew by about 300% to Rs 4,208 crore during 2014-15 as compared to Rs 1,058 crore in the previous fiscal.
Outstanding Infrastructure Advances have grown to Rs 26,997 crore as on 31st March 2015 from Rs 23,881 crore a year earlier. Gross NPAs of the Company as on 31st March 2015 have declined to 2.45% from 3.79% as on 31st March 2014. Net NPAs have declined to 1.57% as on 31st March 2015 from 2.80%, a year earlier. IIFCL paid an interim Dividend, @ 8% of its paid-up Equity Share Capital, amounting to Rs 282.54 crore for the Financial Year 2014-15 to the Government of India, which holds its entire Equity Share Capital.
IIFCL can now act as a Lead Lender and sanction loans based on its own appraisal. IIFCL can now lend more to private sector projects not selected through competitive bidding process. IIFCL can now also lend with a minimum average maturity of 5 years in line with RBI’s Guidelines on Flexible Structuring of Long Term Project Loans. A Regular Credit Enhancement Scheme in place to enable raising of resources from debt capital markets for infrastructure projects.
A new Refinance programme for supporting the primary lenders such as Banks and FIs. IIFC (UK) mandated to provide foreign currency lending to Indian Infrastructure Projects continues to perform successfully. IIFCL (UK) made incremental disbursements of US $ 515 million during 2014-15 which accounts for nearly 50% of cumulative disbursements made in the first six years till March 2014. Moreover, during the year the company forayed into new sectors such as Telecom and Refinery.