UY Fincorp Surges as NSE Listing Approaches
On October 1, shares of UY Fincorp, a prominent non-banking finance company (NBFC), experienced an impressive increase of up to 17%. The stock concluded the trading day at ₹33.57 on the Bombay Stock Exchange (BSE), reflecting a 10.07% gain. Notably, it peaked at ₹35.74 during intraday trading. This bullish trend comes just two days ahead of its anticipated listing on the National Stock Exchange (NSE), scheduled for October 3. UY Fincorp is already listed on the BSE, and with today’s gain, the company’s market capitalization rose to ₹638.63 crore. Investors have witnessed a phenomenal return of 1360% over the past five years, highlighting the stock’s robust performance.
Financial Performance Highlights
The financial strength of UY Fincorp is evident in its recent outcomes. The company’s annual revenue surged by an extraordinary 245.06%, reaching ₹197 crore in the last financial year. In the first quarter of FY25, UY Fincorp reported a quarterly revenue growth of 71.87% year-on-year, totaling ₹36 crore. Furthermore, the company’s net profit exhibited remarkable growth, skyrocketing by 738.2% to ₹64.92 crore in FY24. These financial achievements underline the company’s strong operational capabilities and market positioning.
NSE Listing: A Major Milestone
The official confirmation for UY Fincorp’s listing on the NSE was received on September 30, 2024. This strategic move is viewed as a significant accomplishment for the firm and a testament to its ongoing ascent within India’s thriving financial services landscape. With a debt-free status, UY Fincorp is well-positioned to take advantage of future opportunities.
Strategic Expansion Plans
As part of its growth strategy, UY Fincorp is focusing on expanding its loan brand, GrowU. Initially launched in the cities of Lucknow and Kanpur, the brand is set to broaden its presence into other regions, including Prayagraj and Varanasi. The company aims to digitize small loan processes, with a monthly disbursement capacity of ₹100 lakh and competitive interest rates ranging from 24% to 30%. This approach not only enhances customer accessibility but also streamlines financial services in these growing markets.
Table of Financial Metrics
| Financial Metric | FY23 | FY24 | Q1 FY25 |
|---|---|---|---|
| Annual Revenue (₹ Crore) | 57 | 197 | 36 |
| Net Profit (₹ Crore) | 7.8 | 64.92 | – |
| Revenue Growth (%) | – | 245.06 | 71.87 |
| Net Profit Growth (%) | – | 738.2 | – |
Final Thoughts
The remarkable rise in UY Fincorp’s stock price leading up to its NSE listing is a strong indication of investor confidence and the company’s potential for further growth. With strong financial results and strategic plans for expansion, UY Fincorp is positioning itself as a formidable player in India’s financial services sector. As always, potential investors are encouraged to conduct thorough research or consult with financial advisors before making any investment decisions.
(Disclaimer: The views expressed in this article are solely those of the author and do not reflect the opinions of Moneycontrol.com. Always consult a licensed financial advisor before making investment choices.)
