Poonawalla Fincorp Limited · NSE:POONAWALLA
Poonawalla Fincorp — Q4 FY25 Earnings Presentation
40 slides from Poonawalla Fincorp's earnings presentation, Apr 25, 2025
Slide 1: Exchange filing cover letter: Investor/Analysts' Presentation
April 25, 2025 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department The Listing Department, 25th Floor, Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalal Street, Fort, Bandra- Kurla Complex, Bandra (East), Mumbai - 400 001. Mumbai - 400 051. BSE Scrip Code: 524000 NS
Slide 2: Q4FY25 Investor Presentation
Q4FY25 Investor Presentation April 25, 2025 Sustainable | Predictable | Productive
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides have been prepared by Poonawalla Fincorp Ltd. solely for informational purposes. They do not constitute an offer, recommendation, or invitation to purchase or subscribe for any securities. Furthermore, they should not be relied upon as the bas
Slide 4: Table of Contents
Table of Contents 1 Key Highlights 2 Business Overview 3 Financial Overview 4 Board of Directors, Management Team, ESG and Awards
Slide 5: 1. Key Highlights
POONAWALLA FINCORP FINCORP. INTRODUCING THE SAFEST & FASTEST WAY TO GET FUNDS 1. Key Highlights
Slide 6: FY25 recap: Foundation of building blocks
FY25 recap: Foundation of building blocks Setting the foundation for the sustainable, predictable and productive business Our 5 Strategic Blocks Where do we stand We achieved • Strengthened the leadership team • Foundation for future-ready Agile and Smart organization People • Launched 6 new busines
Slide 7: FY25 Financial Highlights
FY25- Financial Highlights Robust AUM growth and stable asset quality ▪ Recorded strong AUM growth of 43% AUM NII PPoP ▪ NII grew by 23% YoY ₹35,631 Cr ₹2,708 Cr ₹1,417 Cr ▪ Secured : Unsecured on-book mix improved 43% YoY 23% YoY 2% YoY to 57:43 from 49:51 last year ▪ Investment in 6 new businesses
Slide 8: Q4FY25 Financial Highlights
Q4FY25- Financial Highlights Robust AUM growth and stable asset quality AUM NII PPoP ▪ Strong AUM growth with momentum primarily across all products ₹35,631 Cr ₹715 Cr ₹333 Cr ▪ Secured on-book mix at 57% vs 54% in 43% YoY 12% YoY 19% YoY previous quarter 15% QoQ 6% QoQ 11% QoQ ▪ 6 new businesses la
Slide 9: 2. Business Overview
POONAWALLA FINCORP INTRODUCING THE SAFEST & FASTEST WAY TO GET FUNDS 2. Business Overview
Slide 10: Table of Contents
Table of Contents 1 Key Highlights 2 Business Overview ✓ Vision and Mission ✓ Business strategy ✓ Products and Distribution ✓ Analytics and AI-first approach ✓ Risk Management ✓ People 3 Financial Overview 4 Board of Directors, Management Team, ESG and Awards
Slide 11: Our Vision and Mission
Our Vision and Mission To be the Most Trusted Financial Services brand ➢ Trust: Denotes legacy and brand promise Vision ➢ Financial Services: Holistic term that broadly defines the current and future business expansion To help our customers succeed financially, and our values guide everything we do:
Slide 12: Sustainable, Predictable and Productive business
Sustainable, Predictable and Productive business Solidify, Expand and Scale Shaping up a Sustainable, Predictable and Productive Business Scale ▪ Investing in digital marketing at scale, conducting over 100 Expand experiments across web & app platforms: To add value to Industry-first digital journey
Slide 13: New products launched
New products launched Risk diversification and Cross-sell flywheel New products launched PL Prime Education Loans CVs Consumer Durable Shopkeeper Loans Gold Loans ▪ Launched industry- ▪ High Customer ▪ Secured business ▪ Build large customer ▪ Business happens at ▪ Secured business first PL Prime Di
Slide 14: Delivering comprehensive financial solutions
Delivering comprehensive financial solutions Optimised secured and unsecured mix of products Loan Against Property • Loan from ₹51 lakhs to ₹25 crore Prime Personal Loan • Tenure: 3-15 years • Loan from ₹1 lakh to ₹50 lakhs • Tenure: 12 to 84 months Business Loan • Loan from ₹5 lakhs to ₹75 lakhs Ed
Slide 15: Phygital Distribution Model
Phygital Distribution Model An architecture for customer sourcing App Sourcing of customers Sourcing of customers Website Social Media through direct channels, through partnerships and DSAs and call centers digital aggregators for various product offerings Other Digital Digital Physical Organic Chan
Slide 16: Leveraging data analytics
Leveraging data analytics Application across Product & Credit lifecycle 1 2 3 4 5 6 Prospect Acquisition Pre-Sourcing Acquisition Fraud Control Post Sourcing Collections Application Models Behavioural Score Early Bucket Models Market Insights Identify Theft Storage Multi-Bureau Cross Sell Models Cha
Slide 17: AI-led digital strategy
AI-led digital strategy One-stop shop for customer servicing and value-added services Disbursement through App for PL has already picked-up and web-based loan applications and complete digital onboarding will be replicated for other consumer products Digital Onboarding Account Aggregator Dedicated C
Slide 18: AI-Solutions transforming our functions
AI-Solutions transforming our functions Improving Risk efficiency, Higher Productivity and Enhancing Customer experience 25 AI-Solutions | 7 Successfully Delivered and 18 Underway Functions HR -4 Customer Service-4 Analytics-1 IT-2 Credit & Risk -4 Projects Recruitment Quality Assessment tools for c
Slide 19: Risk Management integrated into the strategy
Risk Management integrated into the strategy Comprehensive risk management framework GE M E N T A R C HI T ANA E CT Risk Management Strategy KM UR R IS E Focus on Retail Creating a granular retail loan portfolio with low concentration risk Lending and prudent mix of secured and unsecured offerings C
Slide 20: Adopting an industry-first approach in Collections
Adopting an industry-first approach in Collections Leveraging Technology, Analytics and AI 1 2 3 Use of Technology and driving Application of Analytics & AI – Transforming into operational adoption across the optimal use of structured & efficiencies & enhancing frontline teams unstructured data stak
Slide 21: Deepening engagement with all stakeholders
Deepening engagement with all stakeholders Fostering strong relationships across the value chain Employees Channel Partners Customers • Implementation of robust • Increase partner visibility and • Holistic customer engagement engagement framework to foster a reward & recognize them in their plan vib
Slide 22: Human Resources: Planned Innovations and Goals
Human Resources: Planned Innovations and Goals HR Vision To enable both HR and employees to complete HR-related tasks with minimal effort, aiming to achieve “Zero Clicks” experience 1 Prioritizing Employee Development employee development by continuous Impact Increased engagement with employees lear
Slide 23: 3. Financial Overview
POONAWALLA FINCORP FINCORP. INTRODUCING THE SAFEST & FASTEST WAY TO GET FUNDS 3. Financial Overview
Slide 24: Assets Under Management
Assets Under Management Solid AUM growth with right product mix ▪ Robust AUM growth across all products ▪ Secured to Unsecured on-book mix at 57:43. Secured book mix increased by 254bps QoQ. Assets under Management [₹ crore] AUM Mix +42.5%YoY MSME 36% 35,631 30,984 Personal and Consumer 23% 26,972 2
Slide 25: Composition of Borrowings
Composition of Borrowings Diversified liability profile ▪ Total borrowings as on Mar 31, 2025, at ₹ 25,881 crore. Diversified borrowings across instruments and institutions. ▪ 70% of borrowings are on variable rate ▪ Low leverage with D/E of 3.2x, providing enough headroom for growth ▪ Healthy mix o
Slide 26: Optimizing Cost of Borrowing
Optimizing Cost of Borrowing 8.40% Cost of borrowing remained flat despite an increase in the share of long-term borrowings 8.17% 8.16% 8.10% 8.06% 8.07% 8.04% 7.98% 7.99% 7.90% Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25 • During April-2025, we raised ₹1,525 Cr through NCD issuance subs
Slide 27: ALM statement and Liquidity
ALM statement and Liquidity Structural Liquidity Statement as on March 31, 2025 Liquidity as on March 31, 2025 stood at ₹ 4,686 crore in the form of cash, cash equivalents and undrawn bank lines Cumulative inflows (₹ crore) Cumulative outflows (₹ crore) 39,942 39,942 33,788 30,370 31,654 28,077 17,6
Slide 28: Credit Rating
Credit Rating Highest rating - AAA Long-term Ratings* Short-term Ratings** CRISIL Ratings CARE Ratings CRISIL Ratings CARE Ratings Q4FY25 AAA/Stable Q4FY25 A1+ *Long-term rated instruments includes Bank Facilities, NCD and Subordinated Debt | **Short-term rated instrument includes Commercial Paper 2
Slide 29: Net Interest Income (NII) and Operating Expense
Net Interest Income (NII) and Operating Expense Consistent growth in net interest income; Investing in new businesses NII (₹ crore) Opex to Average AUM ratio +12% YoY 6.0% 5.4% 715 5.0% 676 672 4.0% 4.4% 4.8% 645 4.0% 4.2% 641 3.0% 3.9% 2.0% 1.0% 0.0% Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25 Q4FY24 Q1FY25
Slide 30: Asset Quality Trend
Asset Quality Trend Stable Gross NPA; Remain adequately provisioned ➢ Stable Asset Quality with GNPA at 1.84%; NNPA at 0.85% ➢ PCR stands at 54.47% ➢ Credit cost reduced from ₹ 348cr in Q3FY25 to ₹253cr in Q4FY25; reduction of 27% GNPA and NNPA Particulars (₹ crore) Mar-24 Jun-24 Sep-24 Dec-24 Mar-2
Slide 31: Profitability
Profitability Building new businesses for sustainable, predictable and profitable growth PPoP (₹ crore) PBT and PAT (₹ crore) -19% YoY 432 385 332 390 409 292 330 373 333 80 62 279 130 25 19 -70 -270 -470 -471 -670 -630 Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25 Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25 PBT PAT Ro
Slide 32: Profit & Loss Statement
Profit & Loss Statement ₹ crore Q4FY24 Q3FY25 Q4FY25 FY24 FY25 Total Interest Income 844 999 1,068 2,904 3,875 Interest expenses 281 385 458 955 1,515 Net Interest Income (NII) 563 614 610 1,949 2,359 Fee & Other Income 36 58 77 137 242 Net gain on fair value changes 1 - - 2 - Net gain on derecognit
Slide 33: Balance Sheet
Balance Sheet ₹ crore Mar 31, 2024 Dec 31, 2024 Mar 31, 2025 Cash & Bank Balances 269 114 32 Receivables 29 30 19 Loans 22,046 27,962 32,695 Investments 878 1,230 1,341 Other Financial Assets 258 199 185 Non-Financial Assets 556 697 707 Total Assets 24,036 30,232 34,979 Borrowings 15,080 21,338 25,8
Slide 34: 4. Board of Directors, Management Team, ESG and Awards
4. Board of Directors, Management Team, ESG and Awards
Slide 35: Board of Directors
Board of Directors Commanding the course with the best governance standards Ms. Sonal Sanjay Modi Mr. Kewal Kundanlal Handa Mr. Adar Poonawalla Mr. Arvind Kapil Mr. Sunil Samdani Non -Executive Director Independent Director Chairman & Non- Managing Director Executive Director Executive Director & CE
Slide 36: Management Team
Management Team Leading the next phase of growth Mr. Arvind Kapil Mr. Sunil Samdani Mr. Sanjay Miranka Mr. Shriram V. Iyer Mr. Vikas Pandey Mr. Veeraraghavan lyer Managing Director & CEO Executive Director Chief Financial Officer Chief Credit & Analytics Chief Business Officer - Chief Business Offic
Slide 37: ESG delivering sustainable long-term value to stakeholders
ESG delivering sustainable long-term value to stakeholders Prioritising responsible business practices Our Approach Metrics Environment 5575.05 GJ 0.40 tCO2/H Implemented energy saving Total Scope 1 and Scope 2 We are committed to sustaining our environment by Total energy measures emissions intensi
Slide 38: Awards and Accolades
Awards and Accolades Industry Recognition for our brand Human Resource Certified as a great India’s Best Recognised as The workplace by Great Workplace in Most Preferred Place To Work Health & Wellness Workplace (GPTW) from January 2023 2023-24 2024 Brand & Marketing Risk Management The Great Indian
Slide 39: Shareholding Pattern
Shareholding Pattern Shareholding Pattern (Quarter ending March-2025) Top Institutional Investors Kotak Mahindra Mutual Fund Others 17.35% Life Insurance Corporation of India SBI Life Insurance (24.31%) Amansa Holdings Private Limited Franklin Templeton India Fund Insurance/AIF Promoter and Kotak Fu
Slide 40: Thank You!
Thank You! For further information, please contact: Team – Investor Relations Investor.relations@poonawallafincorp.com www.poonawallafincorp.com CIN : L51504PN1978PLC209007