You are here » Home » Companies » Company Overview » Shriram City Union Finance Ltd

Shriram City Union Finance Ltd.

BSE: 532498 Sector: Financials
NSE: SHRIRAMCIT ISIN Code: INE722A01011
BSE 00:00 | 20 Aug 2011.25 13.10
(0.66%)
OPEN

2044.80

HIGH

2060.00

LOW

1990.00

NSE 00:00 | 20 Aug 2001.05 4.00
(0.20%)
OPEN

2015.40

HIGH

2039.95

LOW

1986.00

OPEN 2044.80
PREVIOUS CLOSE 1998.15
VOLUME 112
52-Week high 2454.05
52-Week low 1801.00
P/E 18.94
Mkt Cap.(Rs cr) 13,268
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 2044.80
CLOSE 1998.15
VOLUME 112
52-Week high 2454.05
52-Week low 1801.00
P/E 18.94
Mkt Cap.(Rs cr) 13,268
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Shriram City Union Finance Ltd. (SHRIRAMCIT) - Chairman Speech

Company chairman speech

Dear Shareholders

Micro Small and Medium Enterprises (MSME) are the backbone of India's growth. Theyhave an immense potential to grow exponentially in the years to come. With Government ofIndia focusing clearly on its Rs Make in India' initiative the potential for growth forthe micro and small businesses would grow manifold. This has helped us to tap the improvedopportunity to finance the small businesses which are on the cusp of a new growthtrajectory. In the absence of organised financing opportunities and due to standard creditappraisal policies the banks are not being able to contribute much to this growthmomentum of the MSME segment.

Given this scenario we at Shriram City Union Finance Limited (SCUF) provide therequired financing to the under banked and underserved sections of the society through ourSmall Enterprise Finance loans. While doing this we encourage the emerging entrepreneursof the country and generate a long-standing relationship bond with our customers. We areleveraging our existing customer base as well as tapping new customers relentlesslythrough our vast network of branches handled by our ably talented human capital. Thisapart we are also leveraging the synergies generated from the Shriram Group as a whole.

Performance Personified

FY 2017-18 was another year to achieve great milestones for us at SCUF. With primaryfocus to serve the underserved sections of the society we have become the leading smallenterprise finance company in India in the small loan segment. We are also the leadingtwo-wheeler financier in India.

Our Asset Under Management (AUM) grew by 18.71% from Rs 23132 crores in 2016-17 to Rs27461 crores in 2017-18 in view of our focused business strategy to serve the harder toaccess customers through our niche granular and diversified product portfolio. Our totalincome grew by 15.04% from Rs 4435 crores in 2016-17 to Rs 5102 crores in 2017-18. Ourprofit before tax increased by 19.23% from Rs 854 crores in 2016-17 to Rs 1018 crores in2017-18. This was aptly translated to our growth in net profit which grew by 19.54% fromRs 556 crores in 2016-17 to Rs 665 crores in 2017-18.

We continued our growth momentum especially in the SME segment despite thecompliance-related challenges posed by GST. Small enterprise finance portfolio continuesto remain as the largest contributing segment at 56.34% of total AUM. This segment hasrecorded a 22.2% growth on a YOY basis. This apart the two-wheeler segment also hascontributed around 18.29% of the total loan portfolio followed by loan against goldsegment at 12.29% personal loan at 7.79% and auto loans at 5.29%. Disbursements for theyear 2017-18 stood at Rs 24922 crores as against Rs 22356 crores in 2016-17 a growth ofaround 11.48%. Our housing finance subsidiary Shriram Housing Finance Ltd. has also grownat a considerable rate in 2017-18. With implementation of Real Estate (Regulation andDevelopment) Act 2016 the home buyers have rejuvenated with confidence on protection oftheir interests thus translating into enhanced demand for homes throughout the country insync with Government of India's mission to Rs House for all by 2020'.

Our diverse workforce has a greater knowledge of the local markets and zeal to reach tothe last milestone to serve our customers better. We have created a unique bond with ourhuman capital. They comprise of professionals from varied fields and diverse geographiesthus enabling them to multiply the synchronised benefit potential to the highest standardsto serve our customers better.

At SCUF serving the community is in the DNA of our business. Serving the unbanked andentrepreneur with holistic development of their socio-economic position is nucleus to ourbusiness philosophy. We conducted several community development initiatives during theyear in line with our overall business perspective. We will continue to meet theexpectation of our stakeholders in the years to come through enriched strategicoperational and motivational drives – to become successful in our endeavour to builda Rs Happy Future' for generations to come.

Warm Regards

Duruvasan Ramachandra