§ Provision Coverage Ratio further improved to 76.4% from 73.1% in Q4 FY21.
§ Restructured assets increased to Rs 2,040mn from Rs 1,840mn in Q4 FY21. Further pipeline for restructuring requests is thin.
§ Collection Efficiency (on POS) exhibited improving trend; MSME collection efficiency improved to 87% (84% in Q4 FY21) while Housing Finance collection efficiency improved to 95% (93% in Q4 FY21).
Strong Capital Adequacy
§ CGCL remains well capitalized with a Tier I capital adequacy at 37.5%.
§ The capitalization levels are robust to support strong growth over medium term.
§ Annualized RoE / RoA of 11.1% / 3.4% respectively.
§ BVPS and annualized EPS was Rs100.6 / Rs10.4 respectively.
Commenting on the performance, Founder & Managing Director, Mr. Rajesh Sharma said:
“Q1 FY22 was a particularly challenging quarter due to the severe second Covid wave which affected a number of CGCL employees and customers. We ensured all timely help to our employees to keep their morale strong. We were quick on our heels with the waning of Covid wave and resumed operations at all levels in June’21. Going forward, we remain optimistic about the growth opportunities over medium-term while being aware and cautious of the still delicate normalization post-second Covid wave.
At CGCL, we have set ourselves an ambitious target of delivering a +20% YoY growth in AUM in FY22 and a medium-term CAGR of 22-27% between FY22E-FY27E. We believe this is an achievable target based on the organic growth opportunities we see in our product segments.”