Creditaccess Grameen Ltd. · NSE:CREDITACC
Creditaccess Grameen — Q4 FY25 Earnings Presentation
46 slides from Creditaccess Grameen's earnings presentation, May 2025
Slide 1: CreditAccess Grameen Limited Q4 & FY25 Investor Presentation
CreditAccess Grameen Limited Q4 & FY25 Investor Presentation May 2025 www.creditaccessgrameen.in
Slide 2: Disclaimer
Disclaimer By accessing this presentation, you agree to be bound by the following terms and conditions. This presentation (which may reflect some price-sensitive information in terms of SEBI regulations and Companies Act, 2013, as amended from time to time) has been prepared by CreditAccess Grameen
Slide 3: Discussion Summary
Discussion Summary Key Performance Highlights Asset Quality & Business Overview Financial Results Overview Liability Strategy Investment Rationale www.creditaccessgrameen.in 3
Slide 4: Q4 & FY25: Key Business Highlights
Q4 & FY25: Key Business Highlights Key Operational Metrics Q4 FY25 YoY% QoQ% Near-to-normalised PAR accretion in all states excl. Karnataka GLP (INR Cr) 25,948 -2.9%/ -1.1%* +4.6%/ 6.5%* ✓ 2.61 Lakh new customers added in Q4 FY25, 43% being new-to-credit Borrowers (Lakh) 46.94 -4.6%/ -2.0%* -2.3%/ 0
Slide 5: Discussion Summary
Discussion Summary Key Performance Highlights Asset Quality & Business Overview Financial Results Overview Liability Strategy Investment Rationale www.creditaccessgrameen.in 5
Slide 6: Near-To-Normalised PAR Accretion In All States Excl. Karnataka
Near-To-Normalised PAR Accretion In All States Excl. Karnataka Monthly PAR 15+ Accretion/AUM Rate Strong Trend Towards Near-Normalcy • PAR 15+ by MOB (Month on Book) trend indicating All States All States (Excl. Karnataka) near-normal incremental credit cost 1.45% 1.49% 1.14% 1.06% 0.95% 1.02% • PAR
Slide 7: Sustained Reversal In PAR Accretion Rate (1/2)
Sustained Reversal In PAR Accretion Rate (1/2) Karnataka – Monthly PAR Accretion/AUM Rate Maharashtra – Monthly PAR 15+ Accretion/AUM Rate Delinquency trend in Karnataka expected to normalise by end of Q1 FY26 PAR15 Accretion/AUM PAR 0 Accretion/AUM 0.94% 0.84% 0.86% 2.86% 0.70% 0.67% 1.90% 1.48% 1.
Slide 8: Sustained Reversal In PAR Accretion Rate (2/2)
Sustained Reversal In PAR Accretion Rate (2/2) Madhya Pradesh – Monthly PAR 15+ Accretion/AUM Rate 1.06% 1.10% 0.86% 0.76% 0.62% 0.49% 0.41% 0.41% 0.41% 0.39% 0.39% 0.30% 0.18% Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 Bihar & UP – Monthly PAR 15+ Acc
Slide 9: Improved Business Momentum, Partially Offset By Muted Growth In Karnataka
Improved Business Momentum, Partially Offset By Muted Growth In Karnataka New Borrowers Addition 1,09,888 New Borrower 84,941 80,414 • Robust business growth since 71,708 67,011 67,220 72,028 Dec-24 Addition Rate 55,378 43,023 42,438 45,283 43,976 • However, business momentum was impacted in Feb-25
Slide 10: Continued Customer Addition & High Retention Despite Prevailing Challenges
Continued Customer Addition & High Retention Despite Prevailing Challenges Continued Borrower Addition High Borrower Vintage Borrowers (‘000) Q4 FY25 55% 21% 25% 750 318 Q3 FY25 57% 21% 23% 656 Q2 FY25 58% 21% 21% 4,918 4,694 Q1 FY25 58% 24% 18% Q4 FY24 57% 25% 18% Q4 FY24 Addition Write-off Attriti
Slide 11: Continued Borrower Deleveraging
Continued Borrower Deleveraging GLP % - Mar-25 Borrower Vintage with CA Grameen GLP % - Mar-25 Borrower Vintage with CA Grameen Key Highlights: 0-2 2-4 4-6 >6 Total Unsecured 0-2 2-4 4-6 >6 Mar-25 / Dec-24 / Aug-24 Lender Overlap Total % Total % years years years years Indebtedness (INR) Years years
Slide 12: Delinquencies Due To Tighter Underwriting Largely Crystalized
Delinquencies Due To Tighter Underwriting Largely Crystalized PAR 15+ Mar-25 Borrower Vintage with CA Grameen Key Highlights: Mar-25 / Dec-24 / Sep-24 0-2 2-4 4-6 >6 Lender Overlap Total % years years years years Unique 3.1% 3.0% 3.3% 2.9% 3.1% CA Grameen + 1 4.7% 4.5% 4.6% 4.5% 4.5% Unique Borrower
Slide 13: Sustained PAR Reduction, Offset By Elevated Delinquencies in Karnataka
Sustained PAR Reduction, Offset By Elevated Delinquencies in Karnataka Dec-24 Mar-25 PAR Trend 6.8% 6.9% Top 5 States % GLP PAR 0+ PAR 90+ PAR 0+ PAR 90+ Karnataka 31.1% 4.3% 1.2% 8.7% 2.4% 4.9% 5.1% 5.5% Maharashtra 21.5% 5.0% 2.3% 3.3% 2.1% 4.3% 2.5% 3.3% 3.8% Tamil Nadu 19.0% 8.9% 3.2% 8.1% 4.5%
Slide 14: Early Risk Recognition & Conservative Provisioning
Early Risk Recognition & Conservative Provisioning Q4 FY25 (INR Cr) Consolidated Credit Cost (INR Cr) Q4 FY25 FY25 Asset Classification (dpd) EAD EAD% ECL% Opening ECL - (A) 1,244.0 503.4 Stage 1 0 – 15 (GL), 0 – 30 (RF) 24,087.6 93.4% 1.1% Stage 2 16 – 60 (GL), 31 – 90 (RF) 482.7 1.9% 52.8% Additio
Slide 15: FY26 Guidance Factoring The Potential Opportunities & Challenges
FY26 Guidance Factoring The Potential Opportunities & Challenges Key Indicators FY26 Guidance Remarks • Group Lending growth of 8.0% - 12.0%, partially offset by potential loan write-offs during H1 FY26 GLP Growth % 14.0% - 18.0% • Strong growth in Retail Finance NIM % 12.6% - 12.8% • Range bound NI
Slide 16: Awards & Recognition
Awards & Recognition ET BSFI Exceller Awards 2024: GPW BFSI 2025: Best Financial Inclusion Initiative of the Year India’s Top 50 Best Workplaces THIT-2025 Award: The Asia Pacific Stevie Awards 2025: 16 Excellence in Rural Healthcare Delivery www.creditaccessgrameen.in Bronze - Innovation in Annual R
Slide 17: Discussion Summary
Discussion Summary Key Performance Highlights Asset Quality & Business Overview Financial Results Overview Liability Strategy Investment Rationale www.creditaccessgrameen.in 17
Slide 18: FY25: Key Performance Highlights
FY25: Key Performance Highlights Cost/Income NIM Ratio GLP Disbursements 12.9% PPOP 30.7% INR 25,948 Cr INR 20,037 Cr INR 2,638 Cr (-2.9% YoY) (-13.4% YoY) Wgtd. Avg. COB (+10.3% YoY) Opex/GLP Ratio 9.8% 4.5% ROA CRAR Total Total Equity GNPA*: 4.76% PAT 1.9% 25.4% INR 6,956 Cr INR 531 Cr NNPA*: 1.73
Slide 19: Q4 FY25: Key Performance Highlights
Q4 FY25: Key Performance Highlights Cost/Income NIM Ratio GLP Disbursements 12.7% PPOP 31.8% INR 25,948 Cr INR 6,472 Cr INR 634 Cr (-2.9% YoY) (-19.6% YoY) Wgtd. Avg. COB (-7.1% YoY) Opex/GLP Ratio 9.8% 4.7% ROA CRAR Total Total Equity GNPA*: 4.76% PAT 0.7% 25.4% INR 6,956 Cr INR 47.2 Cr NNPA*: 1.73
Slide 20: Q4 & FY25: P&L Statement
Q4 & FY25: P&L Statement Profit & Loss Statement (INR Cr) Q4 FY25 Q4 FY24 YoY% Q3 FY25 QoQ% FY25 FY24 YoY% Interest Income 1,354.2 1,363.2 -0.7% 1,337.6 1.2% 5,546.8 4,900.1 13.2% - Interest on Loans 1 1,323.1 1,340.5 -1.3% 1,306.9 1.2% 5,437.6 4,812.5 13.0% - Interest on Deposits with Banks and FIs
Slide 21: Q4 & FY25: Balance Sheet
Q4 & FY25: Balance Sheet Balance Sheet (INR Cr) Q4 FY25 Q4 FY24 YoY% Q3 FY25 QoQ% FY25 FY24 Cash & Other Bank Balances 1,443.0 1,313.9 9.8% 1,832.6 -21.3% 1,443.0 1,313.9 Investments 893.0 1,438.9 -37.9% 1,389.7 -35.7% 893.0 1,438.9 Loans - (Net of Impairment Loss Allowance) 24,274.4 25,105.0 -3.3%
Slide 22: Continued Business Traction with Rural Focus
Continued Business Traction with Rural Focus Gross Loan Portfolio (INR Cr) Borrowers (‘000) -2.9% -4.6% 26,714 4,918 4,984 4,933 4,805 4,694 26,304 25,948 25,133 24,810 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 www.creditaccessgrameen.in 22
Slide 23: Consistent Growth in Infrastructure
Consistent Growth in Infrastructure Branches 4.9% 1,976 2,031 2,059 2,063 1,967 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Employees Loan Officers 8.1% 7.0% 19,659 20,970 19,395 19,562 19,333 14,117 13,191 13,411 13,379 12,862 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 F
Slide 24: Quarterly Performance Trend (1/3)
Quarterly Performance Trend (1/3) Disbursements (INR Cr) Total Income (INR Cr) -19.6% 1,513 1,459 1,454 8,053 6,472 1,408 4,476 5,085 1,382 4,004 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Margin Analysis (%) Operating Efficiency (%) 21.0% 21.0% 21.1% 20.2% 20.4%
Slide 25: Quarterly Performance Trend (2/3)
Quarterly Performance Trend (2/3) Asset Quality (%) Total Income, NII, PPOP, PAT (INR Cr) 1,459 1,513 1,454 1,382 1,408 5.07% 5.07% 3.53% 4.76% 922 953 932 862 876 3.99% 2.29% 683 709 672 623 634 1.95% 2.44% 3.28% 1.46% 2.64% 397 398 47 1.18% 1.74% 1.13% 186 0.94% -99.5 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY
Slide 26: Quarterly Performance Trend (3/3)
Quarterly Performance Trend (3/3) GLP / Branch (INR Cr) GLP / Loan Officer (INR Cr) 2.0 2.0 13.6 13.3 1.9 1.9 12.4 12.6 1.8 12.0 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Borrowers / Branch Borrowers / Loan Officer 2,500 2,522 2,429 373 372 369 374 2,334 2,275 3
Slide 27: Product Range To Meet Diverse Customer Needs
Product Range To Meet Diverse Customer Needs GLP - Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Product Mix (INR Cr) % of Total (INR Cr) % of Total (INR Cr) % of Total (INR Cr) % of Total (INR Cr) % of Total IGL 24,741 93% 24,076 92% 22,731 90% 22,227 89% 23,237 90% Family Welfare 82 0% 221 1% 211 1% 141
Slide 28: Our Network & Presence
Our Network & Presence Our Presence as on Mar-25 Uttar Pradesh 16 States & 1 UT 112 Branch Network Q4 FY25 % Share Q4 FY24 % Share 423 Districts Karnataka 363 17.6% 341 17.3% Bihar 2,063 Branches Maharashtra 313 15.2% 300 15.3% 158 Tamil Nadu 385 18.7% 387 19.7% West Bengal Madhya Pradesh 161 7.8% 1
Slide 29: Discussion Summary
Discussion Summary Key Performance Highlights Asset Quality & Business Overview Financial Results Overview Liability Strategy Investment Rationale www.creditaccessgrameen.in 29
Slide 30: Progressing Well on Liability Strategy
Progressing Well on Liability Strategy Diversified Liability Mix - Institution / Instrument Wise (%) Focus on dynamic liability management • Focus on long-term funding with strong diversification between domestic NBFCs - TL FIs - TL & foreign sources Banks - TL 2.3% 8.7% • Target to meet funding req
Slide 31: Stable Liquidity/ ALM Position/ Credit Ratings / ESG Ratings
Stable Liquidity/ ALM Position/ Credit Ratings / ESG Ratings Static Liquidity / ALM Position For the Month For the Financial Year Debt Diversification Q4 FY25 Particulars (INR Cr) Apr-25 May-25 Jun-25 FY26 FY27 Total Drawdowns 3,144 Opening Cash & Equivalents (A) 2,298.9 2,743.3 3,234.1 3,592.8 6,28
Slide 32: Discussion Summary
Discussion Summary Key Performance Highlights Asset Quality & Business Overview Financial Results Overview Liability Strategy Investment Rationale www.creditaccessgrameen.in 32
Slide 33: Past Five Years Performance Track Record (1/2)
Past Five Years Performance Track Record (1/2) Gross Loan Portfolio (GLP) (INR Cr) Disbursements (INR Cr) Borrowers (‘000) CAGR CAGR CAGR 5% 18% 16% 23,134 4,694 26,714 25,948 20,037 4,910 18,539 3,912 3,824 4,264 21,031 15,466 16,599 13,587 11,011 FY21 FY22 FY23 FY24 FY25 FY21 FY22 FY23 FY24 FY25 F
Slide 34: Past Five Years Performance Track Record (2/2)
Past Five Years Performance Track Record (2/2) Note: Refer Annexure for definition of key ratios Margin Analysis (%) Operating Efficiency (%) Asset Quality (%) 20.9% 20.6% 5.01% 5.07% 18.8% 18.3% 18.9% 4.8% 4.9% 4.7% 4.5% 4.5% 3.61% 13.0% 12.9% 1.78% 1.95% 11.6% 4.43% 4.76% 10.7% 10.9% 38.1% 39.0% 3
Slide 35: Past Eight Years Cross Cycle Performance
Past Eight Years Cross Cycle Performance Cross-Cycle ROA (%) Cross-Cycle ROE (%) Strong Cross Cycle FY19 FY21 & 22 FY25 FY17-FY18 Performance Despite Floods, Covid Multiple Demonetisation Several Crisis NBFC crisis Wave 1 & 2 Headwinds 5.6% 5.1% 5.0% 24.9% 22.2% 4.2% 3.6% Avg: 3.6% 18.0% 16.3% Avg:
Slide 36: Highly Motivated Team, Strong Management Foresight & Execution Strength
Highly Motivated Team, Strong Management Foresight & Execution Strength Management Team with Decades of Experience across Banking and Finance Industries Udaya Kumar Hebbar Ganesh Narayanan Nilesh Dalvi Managing Director Chief Executive Officer Chief Financial Officer Gururaj K S Rao Sudesh Puthran F
Slide 37: Committed to Basics Through Classical JLG Lending Model
Committed to Basics Through Classical JLG Lending Model Microfinance loans are unsecured. JLG mechanism acts as security/ loan collateral Fully aligned with new harmonized guidelines in terms of - JLG Benefits: ✓ Formulation of Board approved policies ✓ Strong group bonding ✓ Process modifications ✓
Slide 38: Focus on Customer Centricity, Loyalty & Retention
Focus on Customer Centricity, Loyalty & Retention “One of the Lowest Cost Organised Financer” - One Stop Shop providing Support to Various Lifecycle Needs of the Customer One of the lowest lending rates in MFI industry Loan Customer Centric Ticket Size Tenure Purpose Type Products (INR) (months) Div
Slide 39: Calibrated Expansion Through Contiguous District-Based Approach
Calibrated Expansion Through Contiguous District-Based Approach Systematic geography selection based on the availability of infrastructure, competition, historical performance trend, social/ economic/ political/ climate risk, growth potential Ensures consistent replication of processes/ controls Fam
Slide 40: Unique Human Capital, Internal Audit & Risk Management
Unique Human Capital, Internal Audit & Risk Management Well-Established Operational Structure Multi-Pronged Approach For Risk Management Sound Understanding of Rural Market Internal Audit (IA): 412 – team members Business Heads • IA frequency – minimum 8 times in a year at branches, 4 times at RO, •
Slide 41: Strong Internal Control Structure: Three Lines Of Defence
Strong Internal Control Structure: Three Lines Of Defence 3rd line of defence: Internal Audit team 2nd line of defence: Risk team 1st line of defence: Field & Quality Control teams Zonal Manager / State Head Zonal Manager handles 100 – 120 branches Regional / Divisional Regional Manager handles 40-5
Slide 42: Continuous Technology Enhancement to Drive Operational Efficiency
Continuous Technology Enhancement to Drive Operational Efficiency Ensures Quick And Seamless Delivery of Need Based Financial Products and Services backed by Robust Technology Infrastructure High touch-high tech delivery model: Future Upgrades & Investments • Digitised all customer touchpoints • Inv
Slide 43: Integrating Risk Management in Every Operating Process
Integrating Risk Management in Every Operating Process Microfinance is a Collection Business, hence Risk Management is Integral to Core Strategy and Operating Processes Contiguous Customer Employee Target Customer Customer Lending Employee District-based Engagement Incentive Segment Due-Diligence Mo
Slide 44: Strong Parentage & Shareholder Base
Strong Parentage & Shareholder Base Shareholding Pattern – March 2025 Others, 9.51 MF, AIF, Insurance, 12.68 Promoter Group, 66.43 FPI, 11.38 Committed to Strong Financial Support Micro Finance Business via Patient Capital • Invested through multiple rounds of • CreditAccess India B.V. (CAI) capital
Slide 45: Key Ratios: Definitions
Key Ratios: Definitions 1. Portfolio Yield = (Interest on loans – processing fees + Income from securitisation)/ Avg. quarterly on-book loans 2. Weighted Avg. COB = (Borrowing cost – finance lease charges) / Daily average borrowings (excl. Financial Liability towards Portfolio Securitized) 3. Margin
Slide 46: For Further Queries:
For Further Queries: Nilesh Dalvi Chief Financial Officer Contact No – 9819289131 Email Id – nilesh.dalvi@cagrameen.in Sahib Sharma DGM – Investor Relations Contact No – 7066559383 Email Id – sahib.sharma@cagrameen.in www.creditaccessgrameen.in