Business Trends and Strategic Changes slide image

Business Trends and Strategic Changes

Successfully Navigated Crisis During Legacy of Over 30 Years Implementation of best-in-class technology Strong Capitalization with Ample Liquidity Capital Adequacy has improved from 18.3% in 2016 to 26.6% currently • Reduced TAT • Real-time data Learnings from • Enhanced Productivity • Demonetization • Improved monitoring and control Diversifying Geographical Presence Increasing exposure to newer states • Raised Rs. 922 crore equity capital . Liquidity of around Rs. 1,000 crore • SATIN Strategic Changes Diversified out of unsecured MFI portfolio by floating subsidiaries in housing and MSME finance • • 96.0% of districts with <1% exposure Changed center meeting to bi-weekly • • UP share brought down from 40.9% in Dec' 16 to 26.9% in Mar'23 Process re-engineering • Strengthened management team Technology and Underwriting Contactless repayments via popular apps like Google pay, Paytm, Phonepe etc. Addition of Satin on BBPS (Bharat Bill Payment System) Payment link on the Satin website • "Customer Service App" launched Learnings from COVID-19 • • • • QR code on customer loan card • First in the industry to launch UPI 2.0 (auto debit) • Switched to AWS Dedicated manpower for collections Steps to obtain Sub-KUA License . . Fund Raising First MFI to successfully close an equity round during the peak of pandemic; raised ~Rs. 120 crore vis Rights Issue in Aug/20, fully paid up as of Sep'21 Raised Rs. 225 crore through preferential issue from Promoter Group & Non Promoter Group; received Rs. 137 crore till date Amalgamation of Subsidiaries The management decided to merge TFSL with SFL to leverage on the capital and outreach of the individual companies, combined entity is SFL De-risking Geographic Concentration (No. of States) 16 + 8 states 24 District Diversification Reduction in Top 4 State Contribution 226 Reduced Leverage +79% 405 81% 7.0x 55% Improved Capital Adequacy 26.6% 18.3% 2.9x Dec-16 Mar-23 Dec-16 Mar-23 Dec-16 Mar-23 Dec-16 Mar-23 Dec-16 Mar-23 32
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