SKS Micro collections dip in West Bengal, Gujarat

SKS Microfinance is in trouble in Gujarat and West Bengal even as it is still battling the AP crisis.

Collections in West Bengal and Gujarat have decreased for the Hyderabad-based company in the fourth quarter of 2011-12 compared to the third quarter.

The collections dropped from 81.7 per cent to 80.2 per cent in West Bengal, while it dropped 10 per cent to 58.5 per cent in Gujarat, SKS informed investors.

West Bengal accounts for 11.8 per cent of SKS portfolio and 13.5 per cent of future receivables as the second largest State in operations after Karnataka.

Gujarat accounted for 0.8 per cent of the total portfolio. As on March 31, 2012, SKS' outstanding portfolio in non-Andhra Pradesh States was at Rs 1,320 crore (Rs 2,700 crore in the year-ago period).

REGISTERED OFFICE

Meanwhile, the company's board had approved a proposal to shift the registered office from Hyderabad to Mumbai.

When contacted, a SKS functionary said the process will start soon. "There are some regulatory procedures and it will take about three to six months,'' he said.

However, the company might contunue to have some presence in Hyderabad, he added.

SKS scrip gained 2.93 per cent at the opening of trade on the Bombay Stock Exchange on Thursday and was trading at Rs 91 at 10.50 a.m.

nagsridhu@thehindu.co.in