The company is planning Tranche IV of Rs200 crore NCD in Q4 of the current financial year
FinTech BizNews Service
Mumbai, November 27, 2023: Indel Money, the flagship non-banking finance
company (NBFC) under Indel Corporation, has announced a significant rise by
127.21% in profitability during the second quarter of the fiscal year 2023-24.
The revenue for the quarter rose by 61.09% to Rs. 77.03 crore as compared to
the same period in the previous year.
The first half of FY24 saw the company demonstrating a stellar performance
with its profitability surging by a record 568.86% buoyed by a strong AUM
growth, heightened demand for gold loans, expansion into newer territories
and operational efficiencies despite a challenging business environment.
The profitability rose to Rs.39.17crore during the first half as against Rs. 5.86
crore in the same period last year.
Operationally, annual disbursements so far have experienced a significant 70%
growth, reaching Rs.1800 crore. The consolidated assets under management
(AUM) for Q2 stands at Rs.1363crore, reflecting a substantial increase over the
corresponding quarter of FY23 and a notable quarter-on-quarter rise. The
company's focus on innovation and expansion is evident in its digital initiatives,
including a user-friendly mobile app and hybrid gold loans, enhancing
customer satisfaction and accessibility.
Commenting on the results, Umesh Mohanan, Executive Director and CEO,
Indel Money, said: “We are delighted to report a profit of Rs 39.17 crore for
the first half of FY24. This stellar performance underscores our steadfast
commitment to the business expansion in newer territories and our ability to
respond quickly to the changing market dynamics. Robust disbursements and a
continued focus on gold loans have helped us in achieving this remarkable
business growth. We've recently secured a forex business license from the RBI,
and this holds significant potential to make a substantial contribution to our
overall business.”
“Furthermore, the Non-Convertible Debentures (NCD) Tranche III for FY 24
witnessed an impressive 188% subscription, affirming investor confidence in
the company’s financial instruments. We are planning Tranche IV of Rs200
crore NCD in Q4 of the current financial year”, Umesh Mohanan added.
Indel Money has been maintaining a healthy Capital Adequacy Ratio (CAR)
while meeting all the regulatory requirements. The company plans to add
more than 100 branches in FY24, spreading it to four new states this fiscal
year.
About Indel Money:
Indel Money is a non-deposit taking non-banking finance company (“NBFC”) in
the gold loan sector, lending money against the pledge of gold jewellery. Indel
Money also provides loan against property, business loans, and personal loans.
Indel Money’s current annual disbursements stand at around Rs 3900+ crore
per annum and Loan portfolio stands at around Rs 1400+ crore, out of which
91% percent constitutes gold loans.
The company is part of Indel Corporation, founded by Late Mr Palliyil
Janardhanan Nair. Over the years, the Group has diversified from being a
financial services company into various sectors. Rating agency Crisil has
upgraded Indel Money to “BBB+ stable” this fiscal year.
