About Capital Small Finance Bank Limited Unlisted Shares
Capital Small Finance Bank Limited is formerly known as Capital Local Area Bank Limited. It is the first small finance bank in India. Capital small finance bank limited introduced modern banking facilities in rural areas at low cost. The bank provides Internet banking, mobile banking, locker operations, and all kinds of loans at competitive interest rates. The bank’s Rupay card is accepted across 2.49 Lakhs ATMs, over 50 Lakhs POS Terminals, and on all e-commerce sites. Conversion from Local Area Bank to Small Finance Bank helped the bank to remove geographical barriers for expansion. The Bank has 80% of its business in rural and semi-urban areas.
The Bank is witnessing exponential growth in every segment of business and performance.The branch network has increased from 47 on the day of conversion to small finance bank to150 as on March 31, 2020. The total business of the Bank has increased from 2,963 Crores ason March 31, 2016 to 7,772 Crores as on March 31, 2020.The bank is expecting its business to grow to Rs.24,000 Crores by end of FY 2025 with 350 number of branches.
Products and Services of Capital Small Finance Bank includes Loans, money transfers, deposits, savings and current account, term deposits, insurance and forex services
INCORPORATION DETAILS
|
CIN |
U65110PB1999PLC022634 |
|
Registration Date |
31 May 1999 |
|
Category / Sub-Category of the Company |
Company Limited by Shares |
|
Address of the Registered office and contact details |
MIDAS Corporate Park, 3rd Floor, 37 G.T.Road, Jalandhar. |
|
Name, Address and Contact details of Registrar and Transfer Agent, if any |
Link Intime India Pvt. Ltd. C-101, 247 Park, L.B.S. Marg, Vikhroli (West), Mumbai-400083. Tel.: 022-4918 6270 |
PARTICULARS OF SUBSIDIARIES AND ASSOCIATE COMPANIES
Capital Small Finance Bank Limited does not have any subsidiary or associate company.
BOARD OF DIRECTORS
Sarvjit Singh Samra (Managing Director &Chief Executive Officer)
Dinesh Gupta
Srinath Srinivasan
Mohit Verma
Mahesh Parasuraman
Rahul Priyadarshi
Rakesh Soni
Harmesh Khanna
Sham Singh Bains
Gurdeep Singh
Gurpreet Singh Chug
Navin Kumar Maini
Munish Jain (Chief Operating Officer & Chief Financial Officer)
PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY
|
Name and Description of main products/services |
NIC Code of the product/service |
% to total turnover of the Company |
|
Banking & Financial Services |
64191 |
100% |
CAPITAL SMALL FINANCE BANK LIMITED UNLISTED SHARE DETAILS
|
Total Available Shares: |
3,38,07,217 |
|
Face Value: |
Rs. 10 Per Equity Share |
|
ISIN: |
INE646H01017 |
|
Pan No. |
AABCC3632Q |
|
Lot Size: |
100 Shares |
|
Last Traded Price: |
Rs. 330 |
|
Market Cap: |
Rs. 1115.64 Crore |
SHAREHOLDING PATTERN (As of 31-03-2020)
|
S. No. |
Shareholders’ Name |
No. of Shares |
% of total Shares of the company |
|
1 |
Sarvjit Singh Samra |
76,87,396 |
22.74% |
|
2 |
Brig. Swaran Singh Saini |
4,75,513 |
1.41% |
|
3 |
Gursharan Kaur Dhillon |
3,11,720 |
0.92% |
|
4 |
Dinesh Gupta |
3,25,253 |
0.96% |
|
5 |
Bhagwant Singh Sangha |
39,600 |
0.12% |
|
6 |
Parkash Kaur Pooni |
88,391 |
0.26% |
|
7 |
HDFC Standard Life Insurance Company Limited |
13,94,400 |
4.12% |
|
8 |
ICICI Prudential Life Insurance company Limited |
13,22,400 |
3.91% |
|
9 |
Oman India Joint Investment Fund II |
33,46,914 |
9.90% |
|
10 |
Others |
1,88,15,630 |
44.34% |
|
|
Total |
3,38,07,217 |
100% |
INDUSTRY OUTLOOK
Small Finance Banks shall perform basic banking function like acceptance of alltypes ofdeposits and lending loans to unbanked areas of the country. Small Finance Banks have to followall thenorms and regulationsapplicable to commercial banks like maintenance of Cash Reserve Ratio andStatutory Liquidity Ratio.
Small Finance Banks are required to give 75% of their loan to priority sector and50% of its loan portfolio constitutes loans and advances of maximum up to Rs. 25 lakhs. Theminimumpaid up equity capital is 100 crores. The promoter’s stakes should be 40% minimum that must be broughtdown to 26% in 12 Years. The basic objectives for the setting up of SFBs are provide credit facilities to smallbusiness units,small farmers, micro and small industries and unorganized sectors and reform to improve financialinclusion in the country. Small Finance Banks cannot perform non-banking financial services and not allowed to lend tobig industries.
2020 was a year mainly dominated and impacted by COVID-19. Small Finance Banks are beginning to feel the effect to local and state wise lockdowns. However, Small finance banks are better prepared this year (2021) in second wave of COVID 19 pandemic. Rural customers of Small Finance Banks are less affected by the second wave of COVID 19. There have been delays in collections, but collections have been hit only 1-3% in this second wave of COVID.
According to ICRA, a rating agency, microfinance industry is likely to face asset quality pressure in the short term. However, the majority of microfinance industry will withstand the any stress as their collection capacity is improving. Moreover, their balance sheets mention that they are maintaining sufficient liquidity for tackling emergencies.
The collection capacity of the small finance bank industry improved to around 102%. The Indian microfinance market is expected to grow at CAGR of more than 40% through 2025. South India accounts for more than one third of the market share of Microfinance industry.
The advances and depositsin the SFB industry has increased with the CAGR of 75.3% and 155.3% respectively during the period FY16-FY20. It is expected to grow with the CAGR of 23.0-24.0% during the period FY20-FY23. SFBs’ share in total banking industry has increased from 0.3% in FY19 to 0.5% in FY20 in case of credit, and deposits share has increased from 0.6% in FY19 to 0.9% in FY20 and reporting offices share has increased from 1.5% in FY19 to 2.8% in FY20.
KEY FINANCIALS OF CAPITAL SMALL FINANCE BANK LIMITED(In Rs. Crores)
|
Particulars |
2020 |
2019 |
2018 |
2017 |
|
INCOME |
||||
|
Interest Earned |
458.13 |
346.29 |
271.00 |
223.69 |
|
Other Income |
42.96 |
31.31 |
22.86 |
19.89 |
|
TOTAL INCOME |
501.09 |
377.60 |
293.87 |
243.58 |
|
EXPENDITURE |
||||
|
Interest Expended |
285.51 |
211.15 |
166.49 |
149.66 |
|
Operating Expenses |
163.33 |
132.17 |
94.68 |
70.69 |
|
Provisions and Contingencies |
26.86 |
14.86 |
13.68 |
8.19 |
|
TOTAL EXPENDITURE |
475.71 |
358.18 |
274.85 |
228.54 |
|
NET PROFIT FOR THE YEAR |
25.38 |
19.41 |
19.02 |
15.04 |
|
Profit brought forward |
83.77 |
73.16 |
59.06 |
50.12 |
|
TOTAL PROFIT |
109.15 |
92.57 |
78.08 |
65.16 |
|
EPS |
8.18 |
6.82 |
6.86 |
6.53 |
SOME OTHER IMPORTANT FINANCIAL PARAMETERS
|
Particulars |
2020 |
2019 |
|
Operating Profit (In Rs. Crores) |
52.26 |
34.49 |
|
Net Worth (In Rs. Crores) |
402.83 |
248.47 |
|
Capital Adequacy Ratio |
19.11% |
16.40% |
|
Return on Equity |
10.53% |
11.13% |
|
NET NPA (In Rs. Crores) |
41.25 |
24.22 |
|
Book Value per share (In Rs.) |
120.32 |
87.89 |
|
Cash deposit ratio |
74.79% |
71.14% |
BALANCE SHEET OF CAPITAL SMALL FINANCE BANK LIMITED(In Rs. Crores)
|
Particulars |
2020 |
2019 |
|
CAPITAL AND LIABILITIES |
||
|
Capital |
33.81 |
28.48 |
|
Reserves and Surplus |
372.97 |
221.84 |
|
Deposits |
4446.62 |
3667.26 |
|
Borrowings |
420.92 |
358.38 |
|
Other Liabilities and Provisions |
55.55 |
45.24 |
|
Total |
5329.88 |
4321.20 |
|
ASSETS |
||
|
Cash and Balances with the Reserve Bank of India |
221.23 |
214.86 |
|
Balances with Banks and Money at Call and Short Notice |
594.52 |
496.76 |
|
Investments |
1051.87 |
862.58 |
|
Advances |
3308.31 |
2599.05 |
|
Fixed Assets |
90.62 |
83.52 |
|
Other Assets |
63.32 |
64.43 |
|
Total |
5329.88 |
4321.20 |
|
Contingent Liabilities |
37.07 |
42.09 |
|
Bills for Collection |
0.00 |
0.00 |
DIVIDEND HISTORY
|
Particulars |
2020 |
2019 |
2018 |
2017 |
|
Dividend (In Rs.) |
Nil |
0.2 |
0.8 |
0.8 |
PERFORMANCE OF THE COMPANY
Net profit of the company increased by 31% from Rs. 19.41 Crores in FY 2019 to Rs. 25.38 Crores in FY 2020.
Interest earned by the bank increased by 32% in FY 2020 to Rs. 458.13 Crores from Rs. 346.29 Crores in FY 2019.
Borrowings of the bank increased by 17.45% from Rs. 358.38 Crores in FY 2019 to Rs. 420.92 Crores in FY 2020. Deposits jumped from Rs. 3667.26 Crores to Rs. 4446.62 Crores, witnessing a 21.25%increment.
Advances by the bank rises by 27.29% from Rs. 2599.05 Crores in FY 2019 to Rs. 3308.31 Crores in FY 2020.
Net NPA of the bank jumped to Rs. 41.25 Crores in FY 2020 from Rs. 24.22 Crores in FY 2019.
During the last three years, the CompoundedAnnual Growth Rate (CAGR) of Deposits is24.90%, Advances is 33.97% and Total Businessis 28.55%.
The CASA of the Bank is 36.31 % as onMarch 31, 2020.
There has been a growth in the branch network from 129 as on March 31, 2019, to 150 as on March 31, 2020.
Bank’s capital adequacy improved in FY 2020 and was 19.11%, against the capital adequacy ratio of 16.40% in FY 2019.
In FY 2020, Bank issued and allotted 1,608,508 Equity Shares on June 25, 2019, and 3,717,966 Equity Shares on November 22, 2019, of Rs.10 each at a premium of Rs.242 (i.e. at the total issue price of Rs. 252) per Equity Share
