Capri Global Capital Limited · NSE:CGCL
Capri Global Capital — Q4 FY2023 Earnings Presentation
44 slides from Capri Global Capital's earnings presentation, May 23, 2023
Slide 1: Cover letter to stock exchanges
May 23, 2023 The Secretary The Secretary BSE Limited National Stock Exchange of India Limited Pheeroze Jeejeebhoy Towers Exchange Plaza, 5th Floor Dalal Street, Fort Plot No- 'C' Block, G Block Mumbai - 400 001 Bandra-Kurla Complex, Bandra (East) Scrip Code: 531595 Mumbai – 400 051 Scrip Code: CGCL
Slide 2: Responsible. Resilient. Ready. Q4FY23 Earnings Presentation
Responsible. Resilient. Ready. Q4FY23 Earnings Presentation 22nd May 2023 C A P R I GFollow L O B A Lus: 1
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Capri Global Capital Limited (the “Company”), have been prepared solely for information purposes only and does not constitute any offer or invitation, directly or indirectly, in any manner, or
Slide 4: Business Performance
Business Performance CAPRIGLOBAL 3
Slide 5: Executive Summary: Robust All-Round Performance
Executive Summary : Robust All-Round Performance ❑ Strong rebound in profitability; Q4FY23 Cons. Net Profit at Rs649mn (55% YoY, 73% QoQ). ❑ FY23 Cons. Net Profit flat at Rs2,047mn despite absorbing negative charge of Rs1,614mn on Gold Loan business. ❑ Business sustained strong momentum, Cons. disbu
Slide 6: Business Update: AUM Crosses Rs100bn, Up 56% YoY
Business Update : AUM Crosses Rs100bn, Up 56% YoY AUM Segmental Break Up (INR Mn)* Composition of AUM (%)* o MSME-DA and HF-DA relates to off-balance sheet AUM comprising Direct Assignment (co-lending portfolio) in MSME and HF respectively. * As at the end of period indicated. CAPRIGLOBAL 5
Slide 7: Disbursals: Retail Dominance Continues
Disbursals : Retail Dominance Continues Segmental Disbursals (INR Mn) Composition of Segmental Disbursals (%) Note: MSME disbursals between Q1FY23-Q3FY23 have been re-stated to include co-lending disbursals. CAPRIGLOBAL 6
Slide 8: MSME Business Update
MSME Business Update Average Ticket Size (INR Mn) Live Accounts* Loan to Value (%) (Incremental Disbursals) Geographical Distribution (Value-Wise)^ * As at the end of period indicated ^ As at December 31, 2022 CAPRIGLOBAL 7
Slide 9: Gold Loan Business Update
Gold Loan Business Update Rapid Rollout In 8 States & UTs Geographical Distribution (Value-Wise)* ❑ Gold Loan business continued to scale-up rapidly after the launch in Aug’22 through 108 branches across 5 states and UTs. ❑ The network expanded to 562 exclusive branches in Q4FY23 from 182 in Q2FY23
Slide 10: Construction Finance Business Update
Construction Finance Business Update Average Ticket Size (INR Mn) Live Accounts* Geographical Distribution (Value-Wise)* * As at March 31, 2023 CAPRIGLOBAL 9
Slide 11: Housing Finance Business Update
Housing Finance Business Update Average Ticket Size (INR Mn) (Incremental Disbursals) Live Accounts* Loan to Value (%) (Incremental Disbursals) Geographical Distribution (Value-Wise)* Salaried 42% Self-employed 58% * As at March 31, 2023 CAPRIGLOBAL 10
Slide 12: Car Loan Distribution: Leading Car Loan Originator In India
Car Loan Distribution: Leading Car Loan Originator In India Partner Banks Pan-India coverage through presence in 450 locations in 28 States & UTs 9 Exclusive Branches At Amritsar, Jalandhar, Chandigarh, Lucknow, Patna, Kolkata, Hyderabad, Bengaluru, and Surat Total Locations (Branches + Feet-on-Stre
Slide 13: Car Loan Origination – Strong Growth Performance
Car Loan Origination – Strong Growth Performance Consistently Rising Loan Originations (INR Mn) Loan Originations Full Year Basis (INR Mn) Loan Originations By Volume (Nos.) Average Ticket Size (INR Mn) * * ATS = Originations by Value / Originations by Volume During Quarter CAPRIGLOBAL 12
Slide 14: Earnings Performance
Earnings Performance CAPRIGLOBAL 13
Slide 15: Performance Matrix: Core Earnings Strong
Performance Matrix : Core Earnings Strong NII (INR Mn) Operating Profit (INR Mn) Credit Costs (INR Mn) PAT (INR Mn) CAPRIGLOBAL 14
Slide 16: Non-Interest Income: Important Contributor to Core Income
Non-Interest Income : Important Contributor to Core Income Non-Interest Income (INR Mn) Non-Interest Income / Net Income (%) o CGCL’s non-interest income has become an important contributor to the Company’s net income. The share of non-interest income in net income was 36.3%. o Fees from the car loa
Slide 17: Loan Yields: GL Yields Moving Up
Loan Yields : GL Yields Moving Up MSME (%) Housing Finance Gold Loans (%) Construction Finance (%) CAPRIGLOBAL 16
Slide 18: Key Ratios: Spreads Improve
Key Ratios : Spreads Improve Yield on Advances (Wtd. Avg.) (%) Cost of Funds (Wtd. Avg.) (%) 8.2% 8.2% 8.2% 8.4% 8.5% Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Spreads (YoA – CoF) (%) Net Interest Margin (%) CAPRIGLOBAL 17
Slide 19: Operating Expenses: Opex Ratios Flat Sequentially
Operating Expenses : Opex Ratios Flat Sequentially Operating Expenses (INR Mn) Operating Expenses Composition (%) Cost-Income (%) Cost / AAUM (%) (annualized) Adjusted for the Gold Cost/AAUM Loan calculated vertical considering opex, the new car C/I ratio was loan ~48% in origination FY23 volume for
Slide 20: Key Ratios: Improvement In Return Ratios
Key Ratios : Improvement In Return Ratios Annualized Return on Equity (%)^ Annualized Return on Assets (%) * Q4FY23 RoE computed after applying suitable weightage to fresh equity raised EPS (Diluted) (INR) (Not Annualized) Book Value Per Share (INR)* * Deferred tax assets deducted from Networth befo
Slide 21: Liabilities & Liquidity Position Update
Liabilities & Liquidity Position Update CAPRIGLOBAL 20
Slide 22: Liability Mix: Well Funded Balance Sheet
Liability Mix : Well Funded Balance Sheet* Diversified Funding Profile (INR Mn) Consolidated Borrowings Break-up (INR Mn) * In INR Millions as at the end of period indicated. CAPRIGLOBAL 21
Slide 23: Liquidity Position: Comfortable Liquidity Position
Liquidity Position : Comfortable Liquidity Position* INR Mn except stated CGCL Particulars CGHFL Consolidated (Standalone) Limits Sanctioned 73,750 29,500 103,250 Limits Availed 70,644 29,000 99,644 Un-Drawn 3,107 500 3,607 Repaid 16,634 7,664 24,298 Outstanding 54,010 21,336 75,346 Total no. of rel
Slide 24: Liquidity Position: Proactive Liability Management
Liquidity Position : Proactive Liability Management INR Mn except stated CGCL Particulars CGHFL Consolidated (Standalone) Dues during Q4FY23 2,362 700 3,062 Payment made as per Schedule (A) 2,362 700 3,062 Prepayments made for the quarter (B) 0 0 0 Total repayments/prepayments (A+B) 2,362 700 3,062
Slide 25: Asset Quality
Asset Quality CAPRIGLOBAL 24
Slide 26: Asset Quality: Improvement Continues
Asset Quality : Improvement Continues INR Mn except stated ECL Analysis As Per IndAS (INR Mn) Q4FY23 Q3FY23 Q2FY23 Q1FY23 Q4FY22 Stage 1 & 2 - Gross 96,181 80,588 73,508 65,953 63,627 Stage 1 & 2 - ECL Provisions 1,348 1,234 1,248 1,260 1,325 Stage 1 & 2 - Net 94,832 79,354 72,260 64,693 62,303 Stag
Slide 27: Segmental NPAs: Asset Quality In Improvement Trajectory
Segmental NPAs : Asset Quality In Improvement Trajectory MSME^ Construction Finance & IL^* Housing Finance^* ^NNPAs computed with Stage-3 ECL provisions compared to aggregate ECL provisions previously. CAPRIGLOBAL 26
Slide 28: Capital Adequacy
Capital Adequacy CAPRIGLOBAL 27
Slide 29: Well Capitalized For Medium Term Growth
Well Capitalized For Medium Term Growth Consolidated Networth (INR Mn) Capital Adequacy (%) : Capital Boost In Q4FY23 Strong capital + + = Adequate cash Comfortable liquidity adequacy to Undrawn credit lines position on balance position to support future support future of INR 3.7 Bn* sheet growth gr
Slide 30: Network
Network CAPRIGLOBAL 29
Slide 31: Network: Presence In Major Growth Centres
Network: Presence In Major Growth Centres Branch Addition Has Continued ❑ Network expansion led by addition of Gold Loan branches 117 123 327 610 736 continued taking total branch count to 736 in Q4FY23 compared to 610 branches in Q3FY23 and 117 branches in Q4FY22. ❑ Network of non-Gold Loan busines
Slide 32: Network: Presence In Major Growth Centres
Network: Presence In Major Growth Centres Urban Retail, CF, and Car Loan Gold Loan Branches Distribution 562 Branches in 8 States & UTs 174 Branches in 15 States & UTs 1 3 90 3 1 51 1 3 135 59 22 19 1 24 35 1 96 100 2 5 13 67 2 2 CAPRIGLOBAL 31
Slide 33: Financials
Financials CAPRIGLOBAL 32
Slide 34: CGCL Cons. Inc. Statement: Quarterly Comparison
CGCL Cons. Inc. Statement : Quarterly Comparison INR Mn except stated Particulars Q4FY23 Q4FY22 Y-o-Y (%) Q3FY23 Q-o-Q (%) Interest earned 3,521 2,348 50.0% 3,004 17.2% Interest expended 1,637 916 78.8% 1,394 17.4% Net interest income 1,884 1,433 31.5% 1,610 17.0% Non-interest income 929 544 70.6% 7
Slide 35: CGCL Consolidated Balance Sheet
CGCL Consolidated Balance Sheet INR Mn except stated Particulars (INR Mn) Q4FY23 Q4FY22 YoY (%) Paid-up equity 412 351 17.4% Reserves and surplus 35,242 18,873 86.7% Networth 35,655 19,225 85.5% Bank borrowings and refinance 70,727 43,753 61.6% NCDs 4,386 4,331 1.3% Other liabilities and provisions
Slide 36: CGCL Consolidated Income Statement: Annual Comparison
CGCL Consolidated Income Statement : Annual Comparison INR Mn except stated Profit and Loss A/c FY19 FY20 FY21 FY22 FY23 Interest income 5,307 6,700 6,735 8,396 11,673 Interest expenses 2,071 2,828 2,887 3,308 5,311 Net interest income 3,236 3,872 3,848 5,087 6,362 New businesses contributing to Oth
Slide 37: CGCL Consolidated Balance Sheet: Annual Comparison
CGCL Consolidated Balance Sheet : Annual Comparison* INR Mn except stated Balance Sheet FY19 FY20 FY21 FY22 FY23 Liabilities Paid-up equity 350 350 351 351 412 Reserves 13,477 15,042 16,822 18,873 35,242 Ample Networth 13,827 15,392 17,173 19,225 35,655 leverage room to continue Borrowings 27,687 28
Slide 38: CGCL Consolidated Earnings: Du Pont Analysis
CGCL Consolidated Earnings : Du Pont Analysis RoA Tree (%) FY19 FY20 FY21 FY22 FY23 Interest income 14.6 15.4 13.1 13.0 12.3 Interest expenses 5.7 6.5 5.6 5.1 5.6 Net interest income 8.9 8.9 7.5 7.8 6.7 Other income 1.6 1.0 1.2 1.9 2.9 Fees 1.5 0.9 1.2 1.7 2.9 Other income 0.1 0.1 0.0 0.2 0.0 Net in
Slide 39: Shareholding
Shareholding o Market capitalization1 : ₹ 139.3bn | US$ 1.68bn2 o Cons. Networth3 (Q4FY23) : ₹ 35.7bn Promoter Group 16.3% o Paid-up Equity : ₹ 412.3mn Institutional 13.8% Shareholders o FV : ₹ 2 69.9% Others o Dividend Per Share (FY23) : ₹ 0.50 1. Average of market capitalization on BSE and NSE on
Slide 40: Leadership
Leadership CAPRIGLOBAL 39
Slide 41: Board of Directors & Corporate Governance
Board of Directors & Corporate Governance Independent Board Guiding Executive Management… Rajesh Sharma, MD & CFO Ajit Mohan Sharan, Independent Bhagyam Ramani, Independent Founder & Promoter with over 2.5 Director Director decades of experience, Chartered IAS - Batch 1979 with over 3 decades Ex- GM
Slide 42: Stable Leadership Team
Stable Leadership Team Retail Retail Digital Lending Amar Rajpurohit (Business Head – Prasanna Kumar Singh (Group Hardit Singh Lamba (Head – Digital MSME & Housing – Sales/Product) Collections Head) Ex-Bajaj Finance Partnerships) Ex-Indifi Technologies, Ex-AU Financiers, Gruh Finance, and PNB Housin
Slide 43: Accolades
Accolades SAAT APNO KA WE HAVE BAGGED THE CAPRIGLOBAL “gg” GREAT PLACE TO WORK - CERTIFIED ™ Building and Sustaing High-Trust, High-Performance Culture’ EXCELLENCE AWARDS PROGRAM 2022 CAPRIGLOBAL
Slide 44: Thank you
Thank you For further information, please contact: Ravikant Bhat ravikant.bhat@capriglobal.in T: +91 72089 52880 Sheetal Khanduja Rajat Gupta sheetal@GoIndiaAdvisors.com rajat@GoIndiaAdvisors.com M:+91 97693 64166 M: +91 99718 97739 CAPRIGLOBAL 43
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