Hero Fincorp Limited Unlisted Shares

Annual Report Summary

Hero FinCorp's 33rd Annual Report for 2023-24 highlights the company's transformation and evolution, emphasizing its new brand identity symbolizing a "Rising Bharat" with a theme of "Windows of Opportunity," reflecting a commitment to enabling dreams. The company is dedicated to promoting excellence and teamwork, partnering with the Delhi Capitals IPL team.

Financial Performance: Hero FinCorp moved to a new headquarters in Gurugram, Haryana, a state-of-the-art facility. The company was also recognized as a Great Place to Work for the 7th consecutive year. AUM crossed INR 50,000 Cr, reaching INR 51,821 Cr as of March 31, 2024, a 24% YoY growth. The highest-ever disbursal of INR 34,463 Cr was achieved, up 24% YoY. Profit After Tax (PAT) reached INR 986 Cr (post CCPS adjustment), a 25% YoY increase. They now touch over 11 million lives and maintain over 4,500 touchpoints nationwide. Return on Assets (ROA) stands at 2.1%, while Net Non-Performing Assets (NNPA) stood at their lowest at 2%. Retail AUM reached INR 33,726 Cr (29% growth), with disbursals at INR 25,400 Cr (26% growth). SME AUM stood at INR 10,780 Cr (27% growth), with disbursals at INR 4,865 Cr (22% growth). Corporate AUM was INR 5,988 Cr, with disbursals at INR 4,198 Cr.

Strategic Initiatives & Technological Advancements: Hero FinCorp launched a Gen Al-powered servicing chatbot and scaled the Hero Instant Personal Loan App with a new UI/UX, building best-in-class product journeys to stay ahead in the digital era.

CSR Activities: The company's commitment to Corporate Social Responsibility includes the DhanCharcha financial literacy initiative (reaching 4.6 lakh people in 367 villages across 5 states), the Raman Kant Munjal Scholarships (supporting 155 students in finance and accounts), Pathakshala (school transformation in Gurugram), and Hunar (skill development for underprivileged youth). 412 youth were trained and 60% secured placements. CSR initiatives provided financial literacy to 4.6 lakh people in 367 villages across 5 states, and 1.11 lakh beneficiaries enrolled in government schemes. 85% of the CSR budget was distributed in Haryana, Rajasthan, and Madhya Pradesh.

Board & Committees: Dr. Pawan Munjal is the Chairman, and the Board includes Mrs. Renu Munjal, Mr. Abhimanyu Munjal, Mr. Pradeep Dinodia, Mr. Paramdeep Singh, Mr. Sanjay Kukreja, Mr. Amar Raj Singh Bindra, and Ms. Anuranjita Kumar. The report details the composition and responsibilities of various board committees, including the Audit Committee, Stakeholder Relationship Committee, Nomination & Remuneration Committee, and Corporate Social Responsibility Committee.

Operational & Regulatory Compliance: The company is engaged in finance and investments as a Non-Banking Financial Company and has fulfilled the norms pertaining to non-performing assets, capital adequacy, and statutory liquidity. Compliance with Secretarial Standards is ensured. The company obtained a factoring business license from the RBI.

Financial Information & Ratios: The report includes key financial data like total income (INR 7,804.69 Cr standalone), profit before tax (INR 925.20 Cr standalone), profit after tax (INR 601.92 Cr standalone), debt-equity ratio, net worth, and total debts to total assets. It provides a breakdown of loan assets mix, borrowing mix, gross NPA to loan assets, cost to income ratio, credit cost to average assets, and return on equity/assets.

Future Outlook: The company is filled with enthusiasm and optimism for the future, focusing on enhancing digital capabilities, leveraging technological advancements, expanding product offerings, and strengthening risk management frameworks. They aim to connect more deeply with Indians and work towards a Viksit Bharat by 2047.

This comprehensive summary provides a thorough overview of the key information and data presented in the Hero FinCorp Limited 33rd Annual Report 2023-24.