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Fino Payments Bank shares surge after June business update
The stock was up 14% to ₹180.75 on July 17, putting it on track for a 39% weekly gain, while average total deposits rose 11% year on year in June.
Fino Payments Bank shares jumped 14% on July 17, rising to ₹180.75, as the rally pushed the stock toward its biggest weekly gain in more than five years, provided gains hold through Friday’s close, LiveMint Markets reported. The surge follows a strong June business update that helped reverse a prolonged selloff that had taken the stock to its all-time low. Despite the rebound, the shares are still down 34% for the year, according to the report. For June, the bank said average total deposits increased 11% year on year to ₹2,755 crore, and it opened around 3.1 lakh new accounts, bringing its total customer base to 1.8 crore. Digital engagement improved as monthly active users on the FinoPay app rose 38% to about 8.4 lakh. The bank also highlighted growth in its loan referral business, used as a pilot for its proposed Small Finance Bank model, with loan referral disbursals up 3.5 times year on year to ₹240 crore. However, transaction business throughput declined 35% year on year to ₹2,830 crore, which it attributed to the industry shift from cash to UPI and its focus on higher quality, more active merchants. In the March quarter, net profit fell 70.4% year on year to ₹7.1 crore from ₹24 crore a year earlier.