Q4FY23 Quarterly & FY23 Annual Result Announced for CreditAccess Grameen Ltd.
Finance company CreditAccess Grameen announced Q4FY23 & FY23 results: Q4FY23: GLP grew by 26.7% YoY from Rs 16,599 crore to Rs 21,031 crore Borrower base grew by 11.5% YoY to 42.6 lakh across 1,786 branches Collection Efficiency of 98.2% (excl. arrears) and 98.4% (incl. arrears) Total income increased by 29.3% YoY from Rs 824.5 crore to Rs 1,066.2 crore Net interest income (NII) increased by 32.7% YoY from Rs 519.6 crore to Rs 689.8 crore Pre-provision operating profit (PPOP) increased by 36.3% YoY from Rs 368.8 crore to Rs 502.9 crore Impairment of financial instruments declined by 30.3% YoY from Rs 151.0 crore to Rs 105.3 crore Total ECL provisions were Rs 347.8 crore (1.78%) against GNPA (largely @ 60+ dpd) of 1.21%, and PAR 90+ of 0.96%. NNPA further reduced to 0.42% Write-offs were Rs 102.1 crore Profit After Tax (PAT) increased by 86.4% YoY from Rs 159.1 crore to Rs 296.6 crore Robust liquidity of Rs 1,891.0 crore of cash & cash equivalents, amounting to 8.7% of the total assets Healthy capital position with a CRAR of 23.6% Credit Rating: AA-/Stable by ICRA & India Ratings, A+/Positive by CRISIL FY23: Total income increased by 29.1% YoY from Rs 2,750.1 crore to Rs 3,550.8 crore NII increased by 35.1% YoY from Rs 1,653.1 crore to Rs 2,234.0 crore PPOP increased by 39.8% YoY from Rs 1,077.5 crore to Rs 1,506.4 crore PAT increased by 134.0% YoY from Rs 353.1 crore to Rs 826.1 crore Commenting on the performance, Mr. Udaya Kumar Hebbar, MD and CEO of CreditAccess Grameen, said, “FY23 has been a historic year in our humble journey where we achieved numerous milestones. This includes becoming the first pure-play microfinance institution in the country to cross the Rs 20,000 crore AUM mark, credit rating upgrade from ICRA and Ind-Ra to AA- (stable), ESG ratings from Sustainalytics and S&P; Global, maiden Public NCD issue worth Rs 500 crore, first-of-it’s kind USD 35 million direct funding from DFC (USA), successful completion of CA Grameen’s merger with Madura Micro Finance, featuring in the top five of Fortune India Next 500 list, and “Great Place to Work” certification for 4th consecutive year. Our ethos of sticking to basics via the classical JLG model and strong execution strength has resulted in the best-in-class asset quality with collection efficiency at over 98% (excl. arrears). Our GNPA and Net NPA (predominantly at 60+ dpd) stood at 1.21% and 0.42% respectively, while PAR 90+ was at only 0.96%. We have once again met our annual performance guidance. Our gross loan portfolio grew by 26.7% YoY to Rs 21,031 crore at the end of March 2023. We added nearly 12.3 lakh new borrowers in FY23 resulting in a borrower base of 42.64 lakh. We delivered a quarterly net profit of Rs 297 crore, resulting in ROA of 5.5% and ROE of 24.0%. For FY23, PAT, ROA, and ROE stood at Rs 826 crore, 4.2%, and 18.0% respectively. Our expansive presence across India, differentiated operating model, customised product offerings, highly scalable technology stack, and strong balance sheet place us at the forefront to establish ourselves as the preferred financial partner to millions of underserved low-income households. For FY24, we are sanguine to achieve a growth of 24%-25% in the gross loan portfolio, NIMs of 12%-12.2% with a steady state credit cost of 1.6%-1.8%, translating into ROA of 4.7%-4.9% and ROE of 20.0%-21.0%.” Result PDF17-05-2023