Our historic success would not have been possible without the unstinted support andcooperation of all stakeholders and on behalf of the Board and on my own behalf I wouldlike to place on record my deep sense of gratitude to each and every one of you. We feelimmense pleasure in presenting before you the performance of your Company for thefinancial year 2017-18.
Non-banking financial companies (NBFCs) have undergone a significant transformationover the past few years. The sector has managed to witness robust credit growth in pastfew years and has been clear outperformers in last three years on the back of the fadingeffects of RERA higher growth in loan books and improvement in spreads between borrowingand lending rates. According to RBI's recent financial stability report aggregate balancesheet size of the NBFC sector was Rs 22.1 Lakh Cr.
As per the RBI Bulletin Non-Banking Finance Companies (NBFCs) have played an importantrole in the Indian financial system by complementing and competing with banks and bybringing in efficiency and diversity into financial intermediation. NBFCs have evolvedconsiderably in terms of operations heterogeneity asset quality and profitability andregulatory architecture. Going forward the growing systemic importance andinterconnectedness of this sector calls for regulatory vigil.
During the Financial Year 2017-18 your company recorded consolidated revenue of Rs. 70052062 as compared to previous year's consolidated revenue of Rs. 91346463 resultedin a consolidated profit of Rs. 18454443 as compared to previous year's consolidatedprofit of Rs. 17264338 in the financial year 2016-17. With your ongoing support we areconfident that this figure will continue to increase in near future. Your Company hasonce again delivered strong results despite volatile external environment. The Companyhas developed strong internal systems and processes to withstand market volatility.
The Company is now a matured organization with strong belief in corporate governanceand compliances. As we grow we have strengthened corporate governance and risk managementframework. We want to be recognized as a dependable Company striving for growth with astrong governance model. India Finsec Limited has taken various steps towards businessgrowth which includes investment (95.29% holding) in a housing finance company i.e.IFL Housing Finance Limited (Subsidiary of India Finsec Limited')which will help the company in also expanding its business activities in the line ofhousing finance. During the year the Company successfully gets registered with NationalHousing Board and received its Certificate of Registration from National Housing Bank onDecember 12 2017. IFL Housing Finance is a housing finance company that cares about thehousing dreams of both formal & informal income spectrum. You aspire for a house andwe help you to build your dream castle. National Housing Bank approved IFL HousingFinance is amongst the first organizations in India to claim disbursal in 3 days.
The government is playing a key role in the development of affordable housing sector inIndia. Under its watchful eyes the housing sector has been seeing a healthy growth withtransparency and orderliness. To address the wide unmet housing need of millions ofIndians the subsidiary Company future priorities persists towards creating customerfriendly products targeting new customer ensuring access to low-cost and diversifiedsources of funds and making their dreams come true of owning a house. Government of Indiahas introduced an interest subsidy scheme under Pradhan Mantri Awas Yojna (PMAY) -Housing For All for
purchase/construction/extension/improvement of house to the eligible customers. IFLHousing Finance Limited is an approved lender under Pradhan Mantri Awas Yojna (PMAY) andborrowers who satisfy the eligibility criteria can avail the subsidy after the requestbeing forwarded to the National Housing Bank by the housing finance company andaccordingly loan amount and monthly instalment (EMI) will be reduced. Our subsidiary hasopened two branches in Jaipur and Karnal and is planning to open more branches all overIndia.
I also express my thanks to all our Directors for their invaluable contribution throughtheir guidance and encouragement which have been critical for the success of the Company.I also take this opportunity to thank the National Housing Bank for invigorating thehousing finance ecosystem in the Country. I extend my gratitude to The Reserve Bank ofIndia which tends to the needs of the sector with encouraging interventions making itmore lucrative for the customers. Finally I thank each and every shareholder large andsmall for your support and trust. I assure you that each one of us is committed to builda company that is high on corporate governance is of great value for society and is acompany that you will be proud of.
Chairman & Managing Director