SKS Microfinance Swings to Net Profit

By SUDEEP JAIN

MUMBAI--SKS Microfinance Ltd. (533228.BY), India's only listed microfinance firm, Thursday said it swung to a net profit of 11.5 million rupees ($213,750) in the October-December period, aided by a sharp fall in loan-loss provisions.

The microlender had posted a net loss of 4.28 billion rupees a year earlier.

In the third quarter through December, Provisions, which were mainly for bad loans, fell to 2.8 million rupees from 3.59 billion rupees a year ago.

Total revenue declined by nearly 8% to 727.1 million rupees.

Microfinance companies typically borrow funds from banks and offer small-ticket loans of about $200 to help start or expand small businesses.