Jana Small Finance Bank shares in focus post maiden quarterly results

Shares of recent market debutant Jana Small Finance Bank Ltd (Jana SFB) will be in focus on Friday, as the small finance bank reported its first ever quarterly earnings post Dalal Street debut. Jana SFB reported a 13 per cent year-on-year (YoY) jump in net profit at Rs 134.64 crore for the December quarter. The SFB’s net interest income (NIIs) for the quarter grew 24.4 per cent to Rs 548.5 crore on year-on-year basis. The Bengaluru-based lender reported its Q3 earnings after the market hours on Thursday.

Jana's asset quality improved on a sequential basis, with gross non-performing assets (NPA) falling 25 basis points (bps) on a quarter-on-quarter (QoQ) basis to 2.19 per cent and net NPA declining 16 bps QoQ to 0.71 per cent for the quarter.

Jana Small Finance Bank made its Dalal Street debut earlier this month on February 14, when the stock made a muted debut. The scrip debuted 4 per cent lower at Rs 396 compared with its issue price of Rs 414. The lender raised a total of Rs 570 crore through its IPO, which ran between February 7 and February 9.

For the nine-month ended on December 31, 2023, Jana SFB’s net profit almost doubled to Rs 348 crore from Rs 175 crore. The lender's NII grew 29 per cent to Rs 1,536 crore in 9MFY24 from Rs 1,193 crore in the year ago period. Its total deposits stood at Rs 20,785 crore, growing by 36.5 per cent YoY.

The Jana SFB stock tested a low of Rs 365 on its maiden trading session. It settled at Rs 456.20 on Thursday, up 25 per cent from its listing day's low and 10 per cent higher from its issue price.

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