BANDHAN FINANCIAL SERVICES
Currently, Bandhan undertakes microfinance activities and Bandhan-Konnagar implements developmental programs. Bandhan is the largest MFI in India with a market share of over 20 percent, loan portfolio of Rs.4,457 crore, and borrower base of nearly 50 lakh as of September 30, 2013. The company has a strong presence in West Bengal and other eastern and north-eastern states. Bandhan has received “in-principle” approval from RBI for the commencement of the banking business.
Performance on key parameters
The portfolio outstanding and borrower base have grown at a CAGR of 44 and 24 percent respectively during the 3 years ended March 31, 2013. The geographic diversity is set to improve through expansion in operations to other states Asset quality is healthy, supported by adequate operational practices and multiple levels of tracking and monitoring Has relationships with nearly 30 banks and financial institutions. Focused on improving diversity in resource profile by raising subordinate debt, and issuing non-convertible debentures. Needs to diversify resource profile substantially and reduce dependence on wholesale funding as operations are scaled up Capitalization adequate for the current scale of operations, as reflected in the large net worth of Rs.1,020 crore and low gearing of 4.2 times as on September 30, 2013. Earnings profile is above average, with a high return on managed assets. Profitability is supported by low operating expense
BANDHAN FINANCIAL SERVICES
Portfolio size and growth, client outreach, and profitability over the last three years at Bandhan Financial Services.
