Viji Finance swings to ₹1.14 cr profit, reliant on one-time gain
Net profit of ₹1.14 cr in June quarter versus ₹0.33 cr loss a year ago, boosted by ₹1.18 cr other income. Board seeks to double authorised capital to ₹75 cr.
— 2 earlier stories on Viji Finance Ltd. →What's new
- Net profit of ₹1.14 cr in Q1 FY27 versus a ₹0.33 cr loss a year earlier.
- Revenue from operations rose 57% to ₹88.80 lakh; other income of ₹1.18 cr more than covered the profit.
- Board seeks shareholder nod to increase authorised capital to ₹75 cr from ₹30 cr.
Why this matters
The profit swing is positive but heavily reliant on one-time other income. Without it, operations alone would have remained in the red. The capital increase signals growth ambitions but also dilution risk for a ₹79 cr market cap company with a trailing P/E of 39.8.
What we're watching
- Sustainability of profit without the ₹1.18 cr other income boost.
- Shareholder approval for capital increase and any follow-on equity issuance.
- Next quarter's operating revenue trajectory for signs of organic growth.
The full read
Viji Finance swung to a net profit of ₹1.14 crore in the June quarter from a ₹0.33 crore loss a year ago, aided by a 57% revenue jump and a hefty ₹1.18 crore of other income. Without that one-time boost, the NBFC would not have been profitable from operations alone. The board also moved to double authorised capital to ₹75 crore from ₹30 crore and appointed a whole-time director, signs of ambition for a ₹79 crore market cap firm. But the real test is whether profit can hold without the other-income crutch. The market is already pricing optimism: trailing P/E sits at 39.8 against a tepid 0.8% ROE.
Questions answered
- What drove the profit turnaround?
- Net profit of ₹1.14 crore swung from a ₹0.33 crore loss a year ago, helped by a 57% rise in operating revenue to ₹88.80 lakh and a large other income of ₹1.18 crore, which alone accounted for more than the entire profit.
- How important was the other income?
- Other income of ₹1.18 crore was the key driver. It exceeded total operating revenue for the quarter. Without it, operating expenses likely surpassed operating revenue, resulting in an operating loss.
- What is the significance of the proposed capital increase?
- The board wants to raise authorised share capital from ₹30 crore to ₹75 crore, signalling plans for future equity issuance. This could fund growth but also dilute existing shareholders if exercised.
- Who are the new and outgoing directors?
- Aryaman Kothari was appointed whole-time director for three years. Sejal Riddhesh Shah resigned as non-executive director, and Sakshi Chourasiya was re-appointed as independent director, subject to shareholder approval.
- Is this result a turning point for Viji Finance?
- The profit is a positive step, but sustainability is questionable given the one-time boost. The company has a thin operating base (₹88.80 lakh revenue) and a trailing P/E of 39.8, so the market is pricing in strong future earnings.
Viji Finance Ltd.
Latest quarter · Dec 2023
Leverage & growth
Story so far
All notes on VIJIFIN →- 14 Jul 2026 · 8:01 PM IST Viji Finance swings to ₹1.14 cr profit, reliant on one-time gain
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