Focused on MSME and Housing Finance, a Non-banking finance company (NBFC) Capri Global Capital Ltd (CGCL) has registered 20% growth in the total asset under management to Rs 48.48 bn driven by its focus on MSME and affordable housing finance segments. The initiatives taken by the company to modernize its tech stack has led to improvement in overall employees’ productivity and in-turn reduction in operating expenses to income ratio to 35.3% in FY21 as against 40.9% in the previous financial year. This supported growth in profit by 10% Y-O-Y to Rs. 1.77 bn from Rs. 1.61 bn in the year-ago period.
The consolidated net worth of the company stood at Rs. 17.17 bn in FY21. MSME portfolio continues to dominate with 23% Y-O-Y growth with an AUM of Rs. 25.11 bn. Affordable Home Loan businesses showed a promising growth of 29% Y-O-Y with an AUM of Rs. 11.55 bn.
Commenting on the outcome, Mr. Rajesh Sharma, Managing Director, Capri Global CapitalLtd., said, “Our profitability and strong loan book growth for the quarter demonstrated significant improvement in performance across key indicators despite severe headwinds of Covid-19. Our knowledge of micro-market and emphasis on the secured small ticket size loan in Tier II, III & IV cities led to a significant growth in the business. Compared to the scenario in the first two quarters of the year, the second half of the year saw us flex towards our visionary growth. Our financial prudency coupled with other measures including regulatory policies has helped us widen our credit reach for the financial inclusion while maintain a healthy asset quality.”
On the outlook of the company in upcoming time, Mr. Sharma believes that “We have built a robust ecosystem with the pillars of agility, strong leadership and innovation. We are confident to deliver double digit growth with sustained EBIDTA.
Amid the current economic scenario, Capri Global Capital Ltd, will continue to maintain a cautious stance on disbursement, enhance risk mechanism and ensure seamless delivery.”