Arohan Financial Services Unlisted Shares

Annual Report: 2022

Back to All Annual Reports View Arohan Financial Services Unlisted Shares Details

Year: 2022

Annual Report Summary

The Arohan Financial Services Limited Annual Report for 2022-2023 highlights the company's journey of “Navigating to Our Next,” emphasizing growth and transformation in the microfinance sector. Arohan, a digitally advanced NBFC-MFI regulated by the Reserve Bank of India, operates in 17 states, serving underserved households with financial inclusion products.

Key Performance Indicators:

Solvency & Liquidity: Net worth is INR 1,338 Cr, with a capital adequacy ratio of 28.74%. Funds drawn amount to INR 4,195 Cr, and cash and cash equivalents are INR 935 Cr.
Efficiency Ratios: OPEX is 7.25%, and fee income constitutes 9% of total income. The credit rating is A- (Stable Outlook).
Arohan Privilege Digital Lending: 6,435 customers with a portfolio of INR 31 Cr.
Impact Numbers: 17 states, 252 districts, 829 branches, and a customer strength of 2.01 million. The rural branch percentage is 72%. Disbursement for FY23 is INR 5,299 Cr, and the gross loan portfolio is INR 5,357 Cr. Employee count: 8,030 with a 92.80% field employee percentage.
Borrower Demography: Rural 77%, Urban 23%, Women 98%.

Arohan's Mission, Vision, and Values drive its operations. The mission is to empower underserved households with sustainable financial services. The vision includes impacting over 20 million lives by 2027, becoming a Top 3 MFI player, serving over 5 million households, and being a preferred employer. The core values emphasize employee engagement, transparency, honesty, integrity, innovation, customer centricity, and shareholder value focus.

The company focuses on four Engines of Growth: Organic, Inorganic, Digital Lending (ArohanPrivilege), and Alliances & Acquisitions. It offers a range of credit and non-credit products and financial inclusion services including Saral, Bazaar, Micro Enterprise Loans, Term Life Insurance, Health Insurance and Dwelling Insurance. It emphasizes sustainable impact through a technology-enabled financial inclusion entity.

Financial Performance & Position: Revenue for FY 2023 was INR 1,090.99 Cr, with profit after tax at INR 71 Cr and assets under management at INR 5,357 Cr. The company had a gross loan portfolio of INR 5,357 Cr, with a 2.8% GNPA and a 0.21% NNPA. It is rated CARE MFI 1, highest on an 8-point scale. It also carries a COCA Assessment score of C1, indicating “Excellent Performance." With a focus on expansion, Arohan is strategically deepening its footprint across India, especially targeting states demonstrating high degrees of financial exclusion.

The Annual Report details recent awards and recognitions conferred on Arohan. They include a "Microfinance Company of the Year" award, a Best Risk Management Initiatives Award, and a Technology Innovations award.

Several committees have been established. The board of directors consists of several committees that oversee and manage risks, audit functions, governance and sustainability.

Looking Ahead: Arohan plans to impact 20 million lives by 2027, leveraging technology and financial inclusion. The company aims to be among the top 3 MFI players.

Company Resources

Access essential information and documents to make informed investment decisions

Events

Stay updated with upcoming events, conferences, and announcements

Financial Reports

Access quarterly and half-yearly financial statements and reports

Annual Reports

Download comprehensive annual reports and financial summaries

Currently viewing

Presentations

Access investor presentations, corporate briefings, and slideshows

Our Blogs

Our blog provides insightful information about unlisted shares, offering a deeper understanding of how these assets work, their potential benefits, and the risks involved. Whether you're new to unlisted shares or looking to expand your knowledge, we cover topics such as investment strategies, valuation methods, market trends, and regulatory aspects. Stay updated with expert tips and guides to navigate the unlisted share market effectively.

NSDL Unlisted Shares SWOT Analysis

NSDL, India’s pioneering depository, combines institutional dominance with robust digital public infrastructure capabilities. As it approaches listing, its strengths in high-margin revenues and regulatory trust are offset by retail underpenetration and emerging fintech threats.

NSDL Pre-IPO Price Band Analysis: Projecting Listing Valuations Across P/E Scenarios

NSDL’s pre-IPO grey-market valuation implies a 63.3× trailing P/E, but actual listing prices could swing widely depending on investor confidence, regulatory clarity, and execution on digital and banking ventures. Scenario modeling across 55× to 75× forward P/E multiples shows a potential price range of ₹1,103–₹1,504, offering a roadmap for assessing risk-adjusted upside.

Unlisted NSDL Shares vs CDSL: Do Future Earnings Justify the Valuation?

NSDL’s rich unlisted valuation reflects its institutional edge, digital infrastructure revenues, and upside from its Payments Bank, but post-IPO, some premium may normalize. With CDSL riding strong retail growth and expanding fintech partnerships, the valuation gap could narrow as earnings converge over FY26–27.

Can NSE Be the Next Big Story on Its Listing, Similar to BSE?

NSE’s upcoming IPO has investors drawing parallels with BSE’s explosive post-listing returns, backed by its FY25 financial strength, market dominance, and rising retail interest. With key governance issues addressed, NSE’s listing could unlock significant shareholder value—potentially outpacing BSE’s success.

NSE Unlisted Shares: Do They Fit Warren Buffett’s Toll Road Investment Framework?

The NSE’s FY25 performance exemplifies Warren Buffett’s toll road investment philosophy, showcasing dominant market share, recurring revenues, high margins, and systemic indispensability. Its monopoly-like presence in India’s financial ecosystem makes it a resilient, high-quality long-term asset.

NSE vs BSE: FY25 Financial Performance Analysis

In FY25, NSE outpaced BSE across all key financial metrics, driven by its dominance in derivatives, diversified revenue streams, and superior cost efficiency. While BSE showed growth in mutual funds and SME platforms, it continues to trail NSE in scale and profitability.