Grameen Financial Services Pvt Ltd (Grameen Financial) is an NBFC set up in 1991 as Sanni Collection Pvt Ltd. The company was taken over by its current management in 2007 and renamed as Grameen Financial Services Pvt Ltd. Grameen Financial commenced its microfinance operations in October 2007 by taking over the microfinance portfolio of Grameen Koota, part of T Muniswamappa Trust.
Grameen Financial Services
Grameen Koota in turn started its microfinance operations in 1999, after receiving seed fund programme from Grameen Trust, Bangladesh. Grameen Financial had a network of 161 branches and a loan portfolio of Rs.524 crore as on March 31, 2013.
Performance on key parameters
- Portfolio outstanding grew at a CAGR of 44 per cent during the 2 years ended March 31, 2013.
- Asset quality is moderate; the 30+ days past due was around 0.9 per cent as on March 31, 2013. Operations are predominantly concentrated in Karnataka (which accounted for 80 per cent of loan portfolio as on March 31, 2013).
- Has relationships with more than 20 lenders, including apex MFIs and public, private, and foreign banks. The company also raises funds through securitisation on a regular basis; securitisation accounted for nearly 26 per cent of its overall borrowings as on March 31, 2013.
- Capitalisation remains adequate for its current and planned scale of operations; the company raised Rs.53.2 crore from Creation Investments (Rs 37.5 crore), Incofin and MicroVentures in February 2013 to support its medium term growth plans.
- Profitability though modest has improved during 2012-13 primarily on account of significant improvement in operating expense ratio; ability to maintain its profitability over the medium term despite the margin cap will be critical.
Grameen Financial Statements
Portfolio Size and Growth, Outreach