CreditAccess Grameen (CREDITACC) Q4 14/15 earnings summary

Executive summary

• FY15 revenue rose nearly 90% YoY to Rs 281.43 crore; profit before tax increased more than 175% to Rs 76.08 crore and net profit reached Rs 49.46 crore.

• Outreach expanded to 923,018 members across 238 branches, 64 districts and five states; portfolio outstanding was Rs 1,447.08 crore at Mar. 31, 2015.

• Expansion resumed after two years of stabilization, adding 61 branches and entering Madhya Pradesh and Chhattisgarh; on-time repayment remained 99.9%.

Financial highlights

• Total revenue was Rs 2,814.28 million versus Rs 1,478.29 million in FY14; operating revenue was Rs 2,681.60 million.

• Total expenses rose 71% to Rs 205.35 crore; profit before tax was Rs 76.08 crore versus Rs 27.65 crore, and net profit was Rs 49.46 crore versus Rs 18.51 crore.

• Basic EPS was Rs 9.28 versus Rs 4.66; diluted EPS was Rs 9.14 versus Rs 4.66.

• Loan disbursements reached Rs 1,893.91 crore versus Rs 1,028.07 crore; active borrowers increased 69.25% and portfolio grew 78.95%, including managed and originated loans.

Outlook and guidance

• Long-term target: portfolio of Rs 3,500 crore by 2020 and services reaching over 2 million poor and low-income households.

• Focus remains on expanding coverage, entering newer geographies and serving non-urban clients; Temenos T24 migration was planned for early FY16 to support scale and reduce operating costs.