Financial Performance
• Quarter and Fiscal Year Results (ending March 31, 2024)
• Achieved Asset Under Management (AUM) of ₹600 crores.
• Disbursements increased by 49% to ₹284 crores.
• Loan book growth of 37% to ₹601 crores.
• Profit before tax rose to ₹26 crores.
• Total income increased by 35% to ₹127 crores.
• Gross NPA ratio improved to 2.29%; net NPA ratio slightly increased to 0.69%.
Expansion Plans
• Branch Network Growth
• Plans to expand from 67 to 90 branches in FY25.
• Target AUM of ₹780 crores.
• New branches in Maharashtra, Karnataka, Tamil Nadu, Telangana, and Andhra Pradesh.
• All branches reached break-even within six months.
Management Insights
• Branch Performance
• New branches typically reach full potential in 6-7 months.
• Impact of Monsoon
• Good monsoon can boost housing demand; excessive rainfall may harm it.
• Credit Operations
• Centralized credit operations managed by experienced personnel.
• Loan-to-Value (LTV) ratio capped at 50% for populations under 10,000.
Competition and Risk Management
• Fintech Competition
• Housing finance requires detailed credit assessments, limiting fintech applicability.
• Credit Costs and Balance Sheet Risks
• Emphasis on robust credit procedures and physical verification to minimize errors.
Operational Expenses
• Impact of Expansion on Opex
• Initial increase in operational expenses due to branch expansions.
• Long-term expectation of reduced expenses as operations scale.
Loan Portfolio
• Focus on Rural Housing Finance
• 94% of loans directed to rural areas.
• Customer base: 74% self-employed, 25% salaried employees.
Financial Ratios
• Debt-to-Equity Ratio
• Currently at three times, with sufficient equity funding anticipated.
Closing Remarks
• Long-term Investment Appeal
• Management encourages investors to consider long-term investments, highlighting expertise and commitment to growth.

Key Financial Highlights
• Disbursements: Increased by 37.03% to INR 68.09 crore.
• Loan Sanctions: Rose by 43.50% to INR 73.86 crore.
• Total Loan Book: Grew by 39.28% to INR 515.38 crore.
• Profit Before Tax: Increased by 19% to INR 6.58 crore.
• Branch Expansion: Expanded to 65 branches with plans for further growth.
Future Growth Plans
• AUM Target: Aiming for INR 750 crore to INR 1,000 crore in the next year.
• Branch Network: Plans to increase from 65 to around 70 branches by FY24, focusing on southern states.
• Equity Raising: Estimating around INR 50 crore needed to support growth.
Market Outlook and Strategy
• Positive Market Outlook: Strong demand for housing, especially in rural areas.
• Direct Operations: All branches operated directly without franchising.
• Cost Management: Average monthly operating cost of INR 2 lakh per branch.
Challenges and Considerations
• Election Periods: Potential slowdown in disbursements due to government employee involvement.
• Profit Margins: Currently suppressed due to rising interest rates and expansion costs; expected to normalize in 1-2 years.
Community Engagement
• Rural Focus: Commitment to serving rural communities, addressing high-interest rates from local moneylenders.
• Loan Offerings: Providing loans of INR 3-5 lakhs to underserved populations.
Regional Expansion Strategy
• Target States: Focusing on Karnataka, Telangana, and Andhra Pradesh; avoiding Kerala.
• Operational Efficiency: Easier operations in Gujarat compared to Madhya Pradesh.
Credit Rating and Borrowing Costs
• Improving Credit Rating: Aiming to pass on benefits to borrowers as ratings improve.
• Long-term Vision: Commitment to growth in the housing finance sector.