In my view the results are just average, reasons being:
a. Year on year revenue growth of 11% to Rs 301 crores.
b. Outstanding loan book growth of 16.7% to Rs 10,963.
c. NIMs have shrunk significantly over the years
First two things indicate a general slowdown in lending despite dropping interest rates. It seems to me that the company is trying to project a higher outstanding loan book by including "non-fund based commitment against sanctioned loans" (what does that mean??), though in realty a quick reversal of their NPA calculation percentage shows the current loan book to be approx Rs 10,963 crores.
The management may be doing their best but the sector fundamentals don't seem so great any more. Renewables are going strong from a consumer's perspective but the current per unit pricing and the regulatory issues don't inspire much confidence as a lender. Another area of concern is the net NPA amount of Rs 442.14 Crores. A significant part of it has been sitting on the books for quite some time now (Rs 405.71 Crores as on 30/6/16) and the company may have to increase the provisioning which would lead to a significant hit on the profitability. Current YoY profit growth of 17% looks good but this is a bit illusory as the provisioning has been kept low.
Disclosure: Invested since IPO