Scrip Watch

Bharat Financial Inclusion Ltd

Scrip Sanctuaries for protection from the wildlife in this jungle of Indian Equities

Bharat Financial Inclusion Ltd

Bharat Financial Inclusion Ltd
Finance (Including NBFCs)
FV – Rs 10; 52wks H/L –938.75/435; TTQ – 5.24 Lacs; CMP – Rs 612 (As On December 30th 2016);                                  
Market Cap – Rs 8441 Crs

Standalone Financials and Valuations for FY16 (Amt in Rs Crs unless specified)


Equity Capital

Net worth
Long Term Debt
Total  
Sales
PAT
BV
(Rs)

EPS (Rs)

P/E

Industry P/E

P/BV

Promoter’s
Stake
Beta
127.31 1383 2269 1321 302.98 109 23.8 25.71 48.66 5.61 1.75 1.84

Standalone Financials and Valuations for H1 FY17


Equity Capital

Net worth
Long Term Debt
Total  
Sales
PAT
BV
(Rs)

EPS (Rs)

 P/E

Industry P/E

P/BV

Promoter’s
Stake
Beta
137.55 2513 2109 776 381.79 183 27.76 22.05 48.66 3.34 1.75 1.84

 

Valuation Parameters:

  1. Long Term Debt to Equity – 1.64
  2. ROE % – 22
  3. Market Cap/Sales – 6.4

 

The company has a Gross Loan Portfolio of Rs. 9046 Crs as on Q2 FY17.

Morgan Stanley Asia (Singapore) and Morgan Stanley Mauritius Company acquired 1.0996 per cent stake Bharat Financial, according to the release on23rdDecember,2016. http://economictimes.indiatimes.com/markets/stocks/news/bharat-financial-surges-over-10-on-stake-hike-by-morgan-stanley-units/articleshow/56214855.cms

 Overview:

  • Bharat Financial Inclusion Limited, formerly SKS Microfinance Limited, is a non-banking financial company-micro finance institution (NBFC-MFI).
  • The core business of the Company is providing small value unsecured loans and certain other basic financial services to its Members (Individuals from low income households who are clients of the Company are classified as “Members” and Members whose loans are outstanding are classified as “Borrowers”).
  • The Company is engaged in providing micro finance services to women in the rural areas of India enrolled as members and organized as Joint Liability Groups.
  • In addition to its business of providing micro-credit, the Company uses its distribution channel to provide other financial products and services to the members.
  • Programs in this regard primarily relate to providing of loans to the members for the purchase of mobile handsets, solar lamps, bicycle and sewing machines, among others.
  • The Company provides door step delivery of its services through center meetings in villages.
  • The Company offers loans mainly for income generating activities and not for personal consumption.
  • The Company has presence across approximately 20 states, covering over 100,000 villages and catering to approximately 69.7 lakh women members.
  • The Capital Adequacy Ratio is 33.4%

 

Management:

  • M. R. Rao  – MD & CEO

The Equity Capital is @ Rs 137.55 Crs consisting of 137551594 equity Shares of FV Rs 10 currently held as under

 

 

None Of the Promoter’s Holding is pledged.

Major Non – Promoter Holdings:

Sr.No Non – Promoters No. of shares held % of shares held
1 IDFC 3278728 2.38
2 BIRLA SUN LIFE TRUSTEE COMPANY PRIVATE LIMITED 1998458 1.45
3 CITIGROUP GLOBAL MARKETS MAURITIUS PRIVATE LIMITED 1388334 1.01
4  MORGAN STANLEY INDIA INVESTMENT FUND, INC. 1483299 1.08
5 KUWAIT INVESTMENT AUTHORITY – FUND NO. 208 1539368 1.12
6 SWISS FINANCE CORPORATION (MAURITIUS) LIMITED 1623436 1.18
7 AMUNDI FUNDS EQUITY INDIA 1850000 1.34
8 PINEBRIDGE INVESTMENTS GF MAURITIUS LIMITED 1918983 1.4
9 TIAA-CREF FUNDS – TIAA CREF INTERNATIONAL EQUITY F 4409111 3.21
10 MORGAN STANLEY MAURITIUS COMPANY LIMITED 5240577 3.81
11 AMANSA HOLDINGS PRIVATE LIMITED 5400000 3.93
12 GOLDMAN SACHS (SINGAPORE) PTE 2007900 1.46
13 TREE LINE ASIA MASTER FUND (SINGAPORE) PTE LTD 2357076 1.71
14 MORGAN STANLEY ASIA (SINGAPORE) PTE. 3283935 2.39
15 CREDIT SUISSE (SINGAPORE) LIMITED 3285764 2.39
16 INDUS INDIA FUND (MAURITIUS) LIMITED 3716632 2.7
17 BARON EMERGING MARKETS FUND 3772097 2.74
18 SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA 1471961 1.07
19 SANDSTONE INVESTMENT PARTNERS I 2347117 1.71
20 KISMET SKS II 1943940 1.41
21 TREE LINE ASIA MASTER FUND (SINGAPORE) PTE LTD 1492924 1.09
22 VINOD KHOSLA 3419241 2.49


 

 

 

Standalone Financial Trends (In Rs. Crs) :

Particulars FY16 FY15 FY14 FY13 FY12 FY11
Equity Paid Up 127.31 126.29 108.21 108.21 72.36 72.36
Networth 1383 1046 459 390 430 1781
Total Debt 2913 1667 632 837 416 1081
Net Sales 1321 803 545 353 472 1270
Other Income 152 79 26 20 37 94
PAT 302.98 187.66 69.85 -297.14 -1360.6 111.63
Book Value (Rs) 109 83 42 36 59 246
EPS (Rs) 23.80 14.86 6.46 -27.46 -188.03 15.43

 

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