Ugro Capital Q3 Updates: Assets Under Management Up 32%

Ugro Capital Ltd. said on Friday that its assets under management rose 32% on a yearly basis in the October–December period of the current financial year to over Rs 11,050 crore.

In comparison, in last financial year's similar period, Ugro's funds under management stood at Rs 8,364 crore, according to its quarterly business updates to the stock exchanges. The lender's AUM for the second quarter of the ongoing fiscal was at Rs 10,157 crore.

In the quarter, the financial services provider crossed a significant milestone by lending over Rs 2,050 crore, which is its lifetime highest net loans. Ugro attributed this growth to increased loan volumes across all of its product lines.

The NBFC said that it has received a patent for its proprietary credit scoring model GRO Score.

In secured loan business to micro enterprises also, the financial services provider has witnessed a substantial growth compared to the previous year. Its secured loans disbursement to micro enterprises crossed Rs 500 crore in Q3 FY25, compared to Rs 180 crore during last fiscal's similar period.

As a result, the contribution of overall micro enterprises secured loans to its AUM has risen to about 12% as of December 2024 from 8% in December 2023. The NBFC added that it has expanded its branch network by adding 74 SME branches in nine months of FY25.

"Our liability profile continues to remain diversified, with highest ever loans mobilised of over Rs 1,300 crore during the Q3 FY25," the non-banking financial institution said.

Ugro's total debt, excluding direct assignment, stood at over Rs 6,100 crore for the quarter.

The NBFC's borrowings from banks make up for 48% of its liability mix, while capital markets account for 29%. These include 11% of non-convertible debentures held by domestic financial institutions. The cumulative share of DFIs and FIs is 23%, with other sources contributing 10%, the filing added.

Shares of Ugro Capital closed 5.91% lower at Rs 225.40 apiece on the BSE, compared to a 0.31% decline in the benchmark Sensex.