Star Housing Finance shares rally 4% after strong Q3 performance

Star Housing Finance's (Star HFL) shares rose about 4 per cent during the early trade on Wednesday, bucking the weak global cues in the broader markets. The company posted a strong performance in the December 2022 quarter, which lifted the stock price higher.

Star Housing Finance reported a 680 per cent rise in the net profit at Rs 2.3 crore for the quarter ended on December 31, 2022. The company had clocked a net profit at Rs 0.3 crore in the same period previous year. Star HFL clocked a 111 per cent rise in the total income at Rs 9.96 crore, which was Rs 4.71 crore in the year-ago period.

Star HFL's shares rallied 4 per cent to Rs 52.75 on Wednesday, before paring up some gains. The scrip had settled at Rs 50.90 on Tuesday. The stock has gained about 10 per cent in the last one month. Star Housing Finance's shares have jumped 35 per cent in the last six months, whereas the counter has gained 130 per cent in the last one year.

Star HFL's shares went through some corporate action in December 2022. The company sub-divided its shares in 1:2 ratio, where its shares with a face value of Rs 10 each were split into two shares with a face value of Rs 5 each. The company also announced a bonus issue in 1:1 ratio.

Star HFL has disbursed more than Rs 100 crore for the first time in a fiscal year the company has marked its presence in more than 40 districts in Western and Southern India. It raised funds via three rounds in the last 12 months.

Star HFL reported a 550 per cent rise in the net profit at Rs 7.63 crore for the nine months ended on December 31, 2022, whereas its revenue improved 80 per cent at Rs 24.75 crore. Its net NPA improved to 1.65 per cent from 2.95 per cent in the year-ago period.

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