IndoStar Capital Finance Limited — PPTs, 29-04-2025: Investor Presentation

### Financial Highlights:

IndoStar Capital Finance reported a total revenue of ₹1,404 Cr, up from ₹1,102 Cr year-on-year. Net Interest Income increased to ₹663 Cr, reflecting a 26.8% rise. Profit After Tax (PAT) decreased to ₹52.6 Cr, down from ₹71.6 Cr previously. Total Asset Under Management (AUM) reached ₹11,053 Cr, compared to ₹8,763 Cr last year. The overall margin improved, with Net Interest Margins (NIMs) at 5.6%.

### Strategic Initiatives & Growth Drivers:

IndoStar is enhancing its operational structure with a focus on cost optimization through technology and expanding its network of micro-branches. The company is diversifying funding sources, successfully executing securitization transactions, and holding cash reserves of ₹1,584 Cr. Recent product launches include a high-yield Micro LAP targeting smaller ticket sizes.

### Business Developments:

The firm has solidified partnerships with corporate insurance agencies, including HDFC Life and Bajaj Allianz, to bolster loan and credit protection offerings. There is a continued emphasis on improving asset quality through technology-enabled collections and reducing stressed non-core assets.

### Market Position & Competitive Advantage:

IndoStar holds a strong AA- credit rating with a stable outlook, supported by significant stakeholders like Brookfield and Everstone. The strategy of focusing on retail, high-yield, granular, secured assets positions the company favorably against competitors in a recovering economy.

### Investor Implications:

These updates signal positive growth potential, driven by strategic initiatives and a diversified funding approach. However, investors should be cautious of execution risks associated with new product launches and market expansion strategies.