Capri Global Capital Limited · NSE:CGCL
Capri Global Capital — ICICI Securities India Financials Conference 2023
39 slides from Capri Global Capital's conference presentation, Nov 23, 2023
Slide 1: Stock exchange filing cover letter
November 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:
Slide 2: ICICI Securities India Financials Conference Investor Presentation
ICICI Securities India Financials Conference 23rd November 2023 Investor Presentation C A P R I GFollow L O B A Lus: 1
Slide 3: Capri Global: Profitable Lending With Social Impact
Capri Global : Profitable Lending With Social Impact A NBFC with presence across high growth segments like MSME, Affordable Housing, Construction 01 Finance segments, Car Loan distribution; forayed into Gold Loans in Aug’22. Promoted by first generation entrepreneur, Mr. Rajesh Sharma, CGCL is liste
Slide 4: Capri Global: Our Journey
Capri Global: Our Journey FY 2023 Launched Gold Loans in Aug’22, FY 2022 raised ₹ 14.4bn Commenced third equity through party distribution Rights Issue in FY 2017 of new car loans in Mar’23 Forayed into Jan’21; announced Housing Finance co-lending tie-up FY 2013 business vertical with SBI & Union Ve
Slide 5: Business Overview: Diversified Product Profile
Business Overview: Diversified Product Profile Gold Loans Construction MSME Housing Fin. Finance Indirect Lending Distribution Product portfolio: Product portfolio: Product portfolio: Product portfolio: Product portfolio: Product portfolio: Home loans for – Loan against gold Construction-linked Fina
Slide 6: Lending Business: Footprint In Major Growth Centres
Lending Business: Footprint In Major Growth Centres* Urban Retail, CF, and Car Loan Exclusive Gold Loan Branches Distribution 742 Branches in 9 States & UTs 175 Branches in 13 States & UTs 1 1 99 3 24 58 1 4 162 65 82 18 117 24 36 102 2 5 13 93 1 5 1 Note: Political map of India not to scale, *as of
Slide 7: Diversified AUM: Strong and Sustained Momentum
Diversified AUM: Strong and Sustained Momentum AUM Segmental Break Up (₹ Mn) AUM Segmental Break Up (%) 3.1x CAPRIGLOBAL 6
Slide 8: Disbursals: New Growth Drivers Adding Momentum
Disbursals: New Growth Drivers Adding Momentum Disbursals Segmental Break Up (₹ Mn) Disbursals Segmental Break Up (%) CAPRIGLOBAL 7
Slide 9: Retail AUM: Rising Share Of Co-Lending AUM
Retail AUM : Rising Share Of Co-Lending AUM Co-Lending AUM (₹ Mn) MSME AUM (₹ Mn) 15,000 7.8% 10.0% 6.2% 8.0% 13,000 4.7% 5.3% 6.0% 11,000 3.1% 9,685 4.0% 9,000 1,406 2.0% 6,931 7,000 5,469 2,084 0.0% 1,414 5,000 4,047 465 -2.0% 2,413 162 -4.0% 3,000 5,518 6,195 5,004 -6.0% 3,885 1,000 2,413 -8.0% (
Slide 10: MSME: Fully Secured Business Loans
MSME: Fully Secured Business Loans Average Ticket Size (On Portfolio) Live Accounts (Nos.) Loan to Value (%) (₹Mn) 1.6 29,294 27,164 53.6 1.6 1.5 52.3 51.8 51.8 20,543 1.4 16,141 1.4 12,578 48.0 FY20 FY21 FY22 FY23 Q2FY24 FY20 FY21 FY22 FY23 Q2FY24 FY20 FY21 FY22 FY23 Q2FY23 Wtd. Avg. YoA (%) Asset
Slide 11: Housing Finance: Sustaining Growth Through Affordable Housing
Housing Finance: Sustaining Growth Through Affordable Hsg. Average Ticket Size (On Portfolio) Live Accounts (Nos.) Loan to Value (Incremental) (%) (₹ Mn) 1.1 1.1 1.1 27,020 59.0 58.7 1.0 1.0 24,335 55.8 54.4 54.8 17,739 13,149 10,207 FY20 FY21 FY22 FY23 Q2FY24 FY20 FY21 FY22 FY23 Q2FY24 FY20 FY21 FY
Slide 12: Gold Loans: Rapid Scale-Up In 1 Year Of Operations
Gold Loans : Rapid Scale-Up In 1 Year Of Operations Average Ticket Size (On Portfolio) Loan to Value (%) (Incremental Live Accounts (Nos.)* (₹ ‘000) Disbursals) 73.5 74.2 71.8 72.8 120.3 213,903 67.3 115.5 100.6 96.4 165,860 88.1 111,894 59,434 12,055 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q2FY23 Q3FY23
Slide 13: Construction Finance: Focus On Niche, Small Ticket Loans
Construction Finance: Focus On Niche, Small Ticket Loans Average Ticket Size (On Portfolio) No. of Accounts (₹ Mn) 93.4 98.4 196 209 83.7 70.2 69.4 151 134 126 FY20 FY21 FY22 FY23 Q2FY24 FY20 FY21 FY22 FY23 Q2FY24 Wtd. Avg. YoA (%) Asset Quality Geographic Distribution (Value-wise)^ 18.3 0.7% 18.0 1
Slide 14: Car Loan Distribution: Pan-India Distributor
Car Loan Distribution: Pan-India Distributor Partner Banks Pan-India coverage through presence in 714 locations in 32 States & UTs Total Locations (Branches + Feet-on-Street) Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 322 322 450 714 714 Note: Political map of India not to scale CAPRIGLOBAL 13
Slide 15: Car Loan Origination: On Track To Cross Rs100bn In FY24
Car Loan Origination: On Track To Cross Rs100bn In Originations In FY24 Consistently Rising Loan Originations (₹ Mn)^ Loan Originations (₹ Mn) Loan Originations By Volume (Nos.)^ Average Ticket Size (₹ Mn) * ^Provisional data pertaining to previous quarters has been re-stated. * ATS = Originations b
Slide 16: Non-Interest Income: New Streams Strengthening Net Income
Non-Interest Income : New Streams Strengthening Net Income Net Non-Interest Income (₹ Mn)* Non-Interest Income / Net Income (%) o Share of CGCL’s non-spread income in net-income has increased from 11.5% in FY20 to 29.9% in FY23. o In a short span of two years, CGCL has emerged as a top distributor o
Slide 17: NPA Analysis: In Improvement Trajectory
NPA Analysis: In Improvement Trajectory ₹ Mn except stated otherwise ECL Analysis As Per IndAS FY20 FY21 FY22 FY23 Q2FY24 Stage 1 & 2 - Gross 39,151 45,411 63,627 95,985 111,708 Stage 1 & 2 - ECL Provisions 308 581 1,231 1,258 1,472 Stage 1 & 2 - Net 38,843 44,830 62,396 94,727 110,236 Stage 1 & 2 -
Slide 18: Credit Cost: Towards Normalisation
Credit Cost : Towards Normalisation Credit Cost 10Y Avg. Credit Cost Avg. Credit Cost Excl. FY16 Credit Cost Manageable Driven by ❑ Average credit cost between FY13-FY23 at 144bps. 6.9 wholesale book (CF) ❑ CGCL had one major credit event in FY16 which has bumped up the average credit cost. ❑ Exclud
Slide 19: Healthy Financial Performance Over The Years
Healthy Financial Performance Over The Years… C/I (%) : Impacted By Gold Loan Opex; NII (₹ Mn) Spreads (%)1: Cycle Turning Adj. C/I Ratio 51% in Q2FY24 6,362 6.9 6.8 6.8 66.9 6.6 63.4 60.6 5,087 4,863 3,872 3,848 6.4 38.4 40.1 6.2 35.2 2,493 FY20 FY21 FY22 FY23 Q2FY24 H1FY24 FY20 FY21 FY22 FY23 Q2FY
Slide 20: Path Ahead & Growth Drivers
PATH AHEAD & GROWTH DRIVERS CAPRIGLOBAL 19
Slide 21: Capri 2.0: Scale And Profitability
Capri 2.0 | Scale And Profitability Medium Term Targets (FY27E) ✓ Aim to reach ₹ 300bn AUM ✓ Mid-teen RoE driven by: - Better spreads - Robust fee franchise - Stable credit costs Scaled-up Diversified - Break-even & positive RoE in Gold Loan business NBFC Sizeable diversified play Maturity ❑ Rapid s
Slide 22: Well Capitalized For Medium Term Growth
Well Capitalized For Medium Term Growth Consolidated Networth (₹ Mn) Capital Adequacy (%)* CGCL CGHFL 15,392 17,173 19,225 35,655 36,314 48.1 47.0 43.5 39.9 38.0 37.7 29,258 33.1 30,466 31.2 32.17 29.5 14,645 13,077 14,523 5,250 3,250 3,250 1,750 1,750 1,939 2,325 FY20 FY21 FY22 FY23 Q2FY24 CGHFL Su
Slide 23: Sustaining Growth: Ensuring Underwriting Quality In Retail
Sustaining Growth: Ensuring Underwriting Quality In Retail Business Credit FCU, Legal, Customer Operations Origination Underwriting Technical Service ▪ Fully in-house ▪ Bureau check ▪ Fraud Check of ▪ Pre-disbursal ▪ Mandatory origination. ▪ Customised documents and checks welcome call to Direct Sal
Slide 24: Technology: Building Support Infra for Capri 2.0
Technology: Building Support Infra for Capri 2.0 Key Technology Enablers IT Capex In-House Tech Artificial Machine Data ₹500mn IT capex budgeted in FY24 Team Intelligence Learning Analytics Origination Underwriting Post-Disbursal Data Management In-House LOS Sales Mobility Application Customer Servi
Slide 25: Data Science & Analytics: Building Support Infra for Capri 2.0
Data Science & Analytics: Building Support Infra for Capri 2.0 Our Goal Data and AI Reliability On Last Mile Augmented Data Delivery Decisioning Sales & Partnership Process Efficiency Risk and Collections X/Up-sell and Retention Realtime Application and TAT Tracking Delinquency Prediction Model >250
Slide 26: Collections: Leveraging Digital & Analytical Capabilities
Collections: Leveraging Digital & Analytical Capabilities 1 Artificial Intelligence Based Bot Calling to Customers 2 State-of-the-Art Tele-calling Set-up With Automated Calling 3 Incentive Gamification Tool for Collections Employees Extensive leverage of strong Digital and 4 Live Collections Analyti
Slide 27: Collections: Strengthened Engine With Strategic Pillars
Collections: Strengthened Engine With 3 Strategic Pillars ❑ Trainings for courtesy & problem-solving led communications Best-in-class Customer Engagement Quality ❑ Live monitoring of customer discussions with on-roll trainers ❑ Monthly tracking of contacts made, invalid repayment accounts and custom
Slide 28: Financials
FINANCIALS CAPRIGLOBAL 27
Slide 29: CGCL Consolidated Income Statement: Annual Comparison
CGCL Consolidated Income Statement : Annual Comparison ₹ 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 robus
Slide 30: CGCL Consolidated Balance Sheet: Annual Comparison
CGCL Consolidated Balance Sheet : Annual Comparison* ₹ 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 28,3
Slide 31: 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 32: CGCL Consolidated Income Statement: Quarterly Comparison
CGCL Cons. Inc. Statement : Quarterly Comparison ₹ Mn except stated Particulars Q2FY24 Q2FY23 Y-o-Y (%) Q1FY24 Q-o-Q (%) Interest earned 4,452 2,787 60% 4,134 8% Interest expended 1,958 1,258 56% 1,765 11% Net interest income 2,493 1,528 63% 2,370 5% Non-interest income 803 610 32% 805 0% Net car lo
Slide 33: CGCL Consolidated Balance Sheet
CGCL Consolidated Balance Sheet* ₹ Mn except stated Particulars (INR Mn) Q2FY24 Q2FY23 YoY (%) Q1FY24 QoQ (%) Paid-up equity 412 351 17.3% 412 0.0% Reserves and surplus 36,420 20,062 81.5% 35,901 1.4% Networth 36,833 20,414 80.4% 36,314 1.4% Bank borrowings and refinance 86,489 57,139 51.4% 72,079 2
Slide 34: Leadership Team
Leadership Team CAPRIGLOBAL 33
Slide 35: Board of Directors & Corporate Governance
Board of Directors & Corporate Governance Independent Board Guides Executive Management Rajesh Sharma, Managing Director Founder & Promoter with over 2.5 decades of experience; Chartered Accountant Ajit Mohan Sharan, Independent Bhagyam Ramani, Independent Mukesh Kacker, Independent Director Directo
Slide 36: Leadership Team
Leadership Team Retail Risk Management & Underwriting Corporate Functions Amar Rajpurohit (Business Head Sanjeev Srivastava (Chief Risk Partha Chakraborti (Chief – MSME) Ex-AU Financiers, Gruh Officer) Ex-IIFL Finance, GE Financial Officer) Ex-R R Kabel, Finance, DHFL with over 17 years Money, ICICI
Slide 37: Shareholding
Shareholding o Market capitalization1 : ₹ 157.7bn | US$ 1.89bn2 o Cons. Networth3 (Q2FY24) : ₹ 36.9bn o Paid-up Equity : ₹ 412.3mn 15.1% Promoter Group o FV : ₹ 2 15.0% Institutional Shareholders o Dividend Per Share (FY23) : ₹ 0.50 Other Public Shareholders 69.9% 1. Average of market capitalization
Slide 38: 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 39: 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 38
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