Capri Global Capital Limited · NSE:CGCL
Capri Global Capital — Q4 FY2024 Earnings Presentation
41 slides from Capri Global Capital's earnings presentation, May 10, 2024
Slide 1: Responsible. Resilient. Ready. Q4FY24 Earnings Presentation
Responsible. Resilient. Ready. Q4FY24 Earnings Presentation 10th May 2024 C A P R I GFollow L O B A Lus: 1
Slide 2: Business Performance
Business Performance CAPRIGLOBAL 2
Slide 3: Key Highlights
Key Highlights ❑ Capri Global Capital Ltd. continued the strong growth momentum crossing Rs130,000mn Loan Book milestone, increasing 41% YoY to Rs138,224mn. Consolidated disbursals touched Rs59,514mn (101% YoY, 55% QoQ) with Gold Loan constituting ~50% of the total disbursements during Q4FY24. ❑ Car
Slide 4: Business Update: Consolidated Loan Book Up 41% YoY
Business Update : Consolidated Loan Book Up 41% YoY Loan Book Break Up (₹ Mn) Composition of Loan Book (%) CAPRIGLOBAL 4
Slide 5: Disbursals: Strong Momentum In Gold, Rise of ~55% QoQ
Disbursals : Strong Momentum In Gold, Rise of ~55% QoQ Segmental Disbursals (₹ Mn) Composition of Segmental Disbursals (%) 59,514 12.3% 10.6% 18.6% 17.2% 15.9% 9,435 14.4% 14.7% 14.1% 12.4% 11.6% 7,402 11.3% 38,458 17.5% 12.3% 10.6% 12.5% 35,267 7,454 6,629 29,608 6,576 26,872 5,438 3,634 4,093 2,84
Slide 6: MSME Business Update
MSME Business Update Average Ticket Size (Incr. Disbursals) (₹ Mn) Live Accounts* 1.9 30,482 31,814 1.9 29,294 27,164 28,050 1.7 1.6 1.6 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Loan to Value (%) (Incremental Disbursals) Geographical Distribution (Value-Wise)^ 52.3% 52.8
Slide 7: Gold Loan Business Update
Gold Loan Business Update Average Ticket Size (On Portfolio) (₹)* Live Accounts^ 314,704 100.6K 96.4K 238,465 88.1K 90.9K 89.7K 213,903 165,860 111,894 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Loan to Value (%) (Incremental Disbursals) Geographical Distribution (Value-Wi
Slide 8: Construction Finance Business Update
Construction Finance Business Update Average Ticket Size (₹ Mn) Live Accounts* ATS (outstanding) ATS (Sanc.) 257.9 258.4 246 226.0 233 209.7 205 209 185.2 196 95.6 98.4 97.5 106.6 93.4 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Geographical Distribution (Value-Wise)* Mumba
Slide 9: Housing Finance Business Update
Housing Finance Business Update Average Ticket Size (₹ Mn) (Incr. Disbursals) Live Accounts* 1.7 1.7 32,024 1.6 1.6 1.6 28,847 27,020 24,335 25,276 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Loan to Value (%) (Incremental Disbursals) Geographical Distribution (Value-Wise)*
Slide 10: Car Loan Distribution: Expanded Distribution Centres In Q4
Car Loan Distribution: Expanded Distribution Centres In Q4 Partner Banks Pan-India coverage through presence in 788 locations in 3 32 States & UTs 14 25 4 23 29 4 4 1 80 9 60 2 39 4 5 1 47 17 5 70 24 12 20 50 16 17 Commenced car loan origination for HDB Financial Services during Q4FY24 8 77 41 Total
Slide 11: Car Loan Origination: ~71% YoY Increase In Loan Originations In FY24
Car Loan Origination: ~71% YoY Increase In Loan Originations In FY24 Consistently Rising Loan Originations (₹ Mn)^ Loan Originations Full Year Basis (₹ Mn)^ 28,302 27,510 23,804 18,332 17,799 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Loan Originations By Volume (Nos.)^ Average Ticket Size (₹ Mn) *^ 28,086
Slide 12: Earnings Performance
Earnings Performance CAPRIGLOBAL 12
Slide 13: Performance Matrix: Operating Profit Up Despite NII Decline
Performance Matrix : Operating Profit Up Despite NII Decline NII (₹ Mn) Operating Profit (₹ Mn) Spread compression 1,299 2,493 2,552 caused 2,373 2,450 1,083 1,091 1,096 marginal sequential 896 1,884 dip in NII Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Credit Costs (₹ Mn)
Slide 14: Non-Interest Income: Sustained Momentum in Car & Co-Lending Fees
Non-Interest Income : Sustained Momentum in Car & Co-Lending Fees Net Non-Interest Income (₹ Mn)* Non-Interest Income / Net Income (%) Net Car Loan Fees Co-Lending Income Other Non-interest Income 1,161 1,052 929 33.0 30.0 31.3 805 803 549 470 25.3 24.3 377 311 404 172 293 342 178 198 379 316 289 20
Slide 15: Loan Yields: Yields Fairly Stable Across All Segments
Loan Yields* : Yields Fairly Stable Across All Segments MSME (%) Housing Finance (%) 12.6% 12.6% 12.7% 12.7% 15.7% 15.7% 15.6% 15.7% 12.4% 15.3% Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Gold Loans (%) Construction Finance (%) 19.6% 19.5% 18.7% 18.9% 17.1% 16.7% 16.6% 16.
Slide 16: Key Ratios: Improvement in Yield set off by Increase in CoF
Key Ratios : Improvement in Yield set off by Increase in CoF Yield on Advances (Wtd. Avg.) (%) Cost of Funds (Wtd. Avg.) (%) 11bps 9.1% 9.2% 10bps 8.7% 8.9% QoQ 8.5% QoQ 15.7% increase in increase in 15.6% 15.5% 15.6% YoA CoF due 15.2% to increase in MCLR Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1
Slide 17: Operating Expenses: ~90bps Improvement in Cost/AUM YoY Basis
Operating Expenses : ~90bps Improvement in Cost/AUM YoY Basis Operating Expenses (₹ Mn) Operating Expenses Composition (%) Employee Cost Other Opex Employee Cost Other Opex 798 31% 30% 34% 32% 30% 636 752 698 595 1,821 69% 70% 68% 70% 1,458 1,453 1,505 66% 1,322 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4
Slide 18: Key Ratios: Improvement in Profitability Ratios
Key Ratios : Improvement in Profitability Ratios Annualized Return on Equity (%)* Annualized Return on Assets (%) 2.6% 11.7% 2.2% 2.3% 2.1% 2.0% 8.7% 7.1% 7.1% 7.3% Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 * Q4FY23 RoE computed after applying suitable weightage to fresh
Slide 19: Liabilities & Liquidity Position Update
Liabilities & Liquidity Position Update CAPRIGLOBAL 19
Slide 20: Liability Mix: Increase Led by Bank Borrowings/NHB Refinance
Liability Mix : Increase Led by Bank Borrowings/NHB Refinance Diversified Funding Profile (₹ Mn) Consolidated Borrowings Break-up (₹ Mn) 104,069 104,069 93,183 7,553 88,011 3,873 93,183 6,632 1,522 88,011 5,219 4,696 32,633 75,113 73,781 4,970 1,522 1,522 75,113 73,781 26,065 5,354 5,785 25,076 3,51
Slide 21: Liquidity Position: Comfortable Liquidity Position
Liquidity Position : Comfortable Liquidity Position ₹ Mn except stated CGCL Particulars CGHFL Consolidated (Standalone) Limits Sanctioned 132,100 50,992 183,092 Limits Availed 127,945 47,570 175,515 Un-Drawn 4,155 3,422 7,577 Repaid 56,541 14,577 71,118 Outstanding 71,404 32,993 104,397 Total no. of
Slide 22: Asset Quality
Asset Quality CAPRIGLOBAL 22
Slide 23: Asset Quality: Improvement of ~30bps in GNPA QoQ Basis
Asset Quality : Improvement of ~30bps in GNPA QoQ Basis ₹ Mn except stated ECL Analysis As Per IndAS (INR Mn) Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Gross Loans & Advances 26,192 27,379 29,933 32,316 38,906 Non Performing Loan (NPA) 324 401 410 516 509 Overall ECL provision (ECL) 365 422 469 530 487 ECL
Slide 24: Segmental NPAs: Asset Quality Stable
Segmental NPAs : Asset Quality Stable MSME^ Construction Finance & IL^ GNPA NNPA GNPA NNPA 1.1% 3.8% 3.9% 3.5% 3.5% 1.0% 3.4% 0.8% 2.6% 2.6% 2.6% 2.7% 0.7% 2.2% 0.5% 0.3% 0.4% 0.2% 0.1% 0.0% Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Housing Finance^ GNPA NNPA 1.6% 1.5% 1.
Slide 25: Capital Adequacy
Capital Adequacy CAPRIGLOBAL 25
Slide 26: Well Capitalized For Medium Term Growth
Well Capitalized For Medium Term Growth Consolidated Networth (₹ Mn) Capital Adequacy (%) 48.1% 37,543 38,366 35,655 36,314 36,833 44.2% 39.9% 37.2% 38.2% 33.1% 32.2% 30.5% 28.0% 26.6% 29,258 29,828 30,464 30,466 30,925 5,250 5,250 5,250 3,250 3,250 1,939 2,138 2,325 2,465 2,652 Q4FY23 Q1FY24 Q2FY24
Slide 27: Network
Network CAPRIGLOBAL 27
Slide 28: Network: Rationalizing & Stabilizing
Network: Rationalizing & Stabilizing ❑ Increased branch network with a net addition of 16 Branch Addition Normalizing branches during Q4FY24. Total branch network stood at 736 849 917 919 935 935 branches vs. 919 branches in Q3FY24. ❑ Network of non-Gold Loan businesses expanded by addition of 13 br
Slide 29: Network: Presence In Major Growth Centres
Network: Presence In Major Growth Centres Urban Retail, CF, and Car Loan Gold Loan Branches Distribution 750 Branches in 9 States & UTs 185 Branches in 12 States & UTs 1 99 3 22 59 1 5 165 78 89 15 117 27 38 102 3 5 7 92 1 5 1 Note: Political map of India not to scale Note: Political map of India no
Slide 30: Financials
Financials CAPRIGLOBAL 30
Slide 31: CGCL Cons. Inc. Statement: Quarterly Comparison
CGCL Cons. Inc. Statement : Quarterly Comparison ₹ Mn except stated CAPRIGLOBAL 31
Slide 32: CGCL Consolidated Balance Sheet
CGCL Consolidated Balance Sheet ₹ Mn except stated * As at the end of periods indicated. CAPRIGLOBAL 32
Slide 33: CGCL Consolidated Income Statement: Annual Comparison
CGCL Consolidated Income Statement : Annual Comparison ₹ Mn except stated New businesses contributing to robust non-interest income Net Income CAGR of 34% FY20-FY24 CAPRIGLOBAL 33 EPS in FY20, FY21 & FY24 is not considering the Stock Split effect.
Slide 34: CGCL Consolidated Balance Sheet: Annual Comparison
CGCL Consolidated Balance Sheet : Annual Comparison* ₹ Mn except stated Ample leverage room to continue delivering robust growth. ~3.4x growth in balance sheet in 4 years. ~3.4x growth in loan book in 4 years. * As at the end of periods indicated. CAPRIGLOBAL 34
Slide 35: CGCL Consolidated Earnings: Du Pont Analysis
CGCL Consolidated Earnings : Du Pont Analysis CAPRIGLOBAL 35
Slide 36: Shareholding
Shareholding ❑ Market capitalization1 : ₹ 166bn | US$ 1.99bn2 ❑ Cons. Networth3 (Q4FY24) : ₹ 37.5bn ❑ Paid-up Equity : ₹ Promoter Group 824.9mn 15.09% ❑ FV4 : ₹ 1 15.03% Institutional Shareholders ❑ Dividend Per Share (FY24) : 69.89% Other Public ₹ 0.50 Shareholders Note: 1. Market capitalization NS
Slide 37: Leadership
Leadership CAPRIGLOBAL 37
Slide 38: Board of Directors
Board of Directors Independent Board Guides Executive Management Lingam Venkata Prabhakar, Chairman & Independent Director Rajesh Sharma, Managing Director Ex-MD & CEO Canara Bank and ex-ED Founder & Promoter with over 2.5 Punjab National Bank; rich experience in decades of experience; Chartered ban
Slide 39: Leadership Team
Leadership Team Retail Risk Management Corporate Functions Amar Rajpurohit (Business Head – Sanjeev Srivastava (Chief Risk Partha Chakraborti (Chief Financial MSME) Ex-AU Financiers, Gruh Officer) Ex-IIFL Finance, GE Officer) Ex-R R Kabel, Hafele India, Finance, DHFL with over 17 years of Money, ICI
Slide 40: 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 41: Thank you
Thank you For further information, please contact: Pramod Shettigar [email protected] T: +91 99206 26939 Sheetal Khanduja Rajat Gupta [email protected] [email protected] M:+91 97693 64166 M: +91 99718 97739 CAPRIGLOBAL 41
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