Mahindra Finance on Friday reported a 14 percent increase in its net income to Rs 684 crore for the March quarter on a standalone basis. This growth was attributed to healthy loan sales and the resulting increase in net interest income.

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During the quarter, the company's disbursement grew by 50 percent to Rs 13,778 crore, which increased the loan book to Rs 82,770 crore, representing a growth rate of 27 percent across 1 million new loan contracts.

For the full year FY23, disbursements rose by 80 percent to Rs 49,541 crore.

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Net interest income of the company also grew by 24 percent to Rs 3,057 crore in the reported quarter. The company's full-year revenue was Rs 11,056 crore, from which it earned Rs 1,984 crore, representing a 101 percent increase from what it had earned in FY22.

During the March quarter, the net interest margin was at 7.4 percent or Rs 1,723 crore, which was up by 13 percent.

The gross bad loans ratio improved to 4.5 percent from 5.9 percent, while the net bad loans ratio was 1.9 percent. Its provision coverage ratio stood at 59.5 percent, and capital adequacy at 22.5 percent. The company proposed a dividend of Rs 6 per share or 300 percent for the year.

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