Mumbai, India, July 17, 2023: Choice International Limited (BSE: 531358, NSE: CHOICEIN), one of the leading financial services companies operating across India (“CIL”, “Choice” or the “Company”), announces its results for quarter and year ending June 30th, 2023.
Consolidated Financial Performance for
Q1 FY24 v/s Q1 FY23
- Total Revenue of Rs. 139.3 Cr v/s. Rs. 78.7 Cr [á77%]
- EBITDA of Rs. 37.6 Cr v/s. Rs. 17.6 Cr [á114%]. EBITDA Margins of 27% v/s 22.3%
- PAT of Rs. 21.3 Cr v/s. Rs. 7.7 Cr [á177%]. PAT Margins of 15.3% v/s 9.8%
- Revenue contribution of 59% Stock Broking, 28% Advisory, and 13% NBFC
Consolidated Financial Performance for
Q1 FY24 v/s Q4 FY23
- Total Revenue of Rs. 139.3 Cr v/s. Rs. 139.5 Cr [â0.14%]
- BITDA of Rs. 37.6 Cr v/s. Rs. 47.4 Cr [â20.7%]. EBITDA Margins of 27% v/s 34%
- PAT of Rs. 21.3 Cr v/s. Rs. 30.3 Cr [â29.7%]. PAT Margins of 15.3% v/s 21.7%
Key Business Highlights
- The number of Demat Accounts increased by over 29% YoY to 721k
- AUM for stock broking stood at Rs. 32,200 Cr, higher by 102% YoY
- AUM for mutual funds stood at Rs. 405.4 Cr, a surge of 28% YoY
- Monthly SIP book increased by 53% YoY to Rs. 5.2 Cr
- Insurance premiums generated Rs. 33.8 Cr, an increase of 186% YoY
- The loan book at the end of Q1 FY24 stood at Rs. 415.2 Cr. Retail Loan Book for Q1FY24 stood at Rs. 148.4 Cr
- Net Non-Performing assets (NNPA) as of 30th June 2023 is 0.27%
- The advisory segment generated revenues of Rs. 39.4 Cr with an order book of Rs. 527 C
Commenting on the Q1 FY24 performance Mr. Kamal Poddar, Managing Director said:
FY23 was an exceptional year and has motivated us to strive harder to achieve higher growth in the coming years. The new financial year has kicked off well for us and has set the base for the next year. Choice has ended the quarter with a revenue of Rs. 139.3 Cr, a growth of 77% compared to Q1 FY23. Our consolidated EBITDA and PAT for this quarter stood at Rs. 37.6 Cr and Rs. 21.3 Cr respectively.
Our Broking business has always exhibited strong performance and we have successfully added 41K demat accounts this quarter and have taken the total demat accounts to 721k. There has been flattish growth in the number of active clients in the industry, however, we are pleased to announce that Choice has held its 16th rank as per NSE’s active (UCC) list while maintaining the 5th Rank in the Full Service Brokers category.
The AUM for the Mutual Fund business stood at Rs 405.4 Cr, a growth of 28% YoY. Choice Insurance Broking has been steadily growing every quarter and in Q1 FY24, this business clocked in a total premium of Rs. 33.8 Cr, a strong growth of more than 186% YoY with the number of policies sold stood at 8,008, a staggering growth of 106% YoY. We have partnered with more than 25 insurance companies to sell their products on our platform.
Choice has successfully scaled up the NBFC business, which was launched full-fledged in June last year, and currently has a total loan book of Rs. 415.2 Cr. The focus has been on increasing our retail loan book, which stood at Rs. 148.4 Cr in Q1 FY24.
The NBFC business is poised to empower MSMEs through retail lending tailored specifically for the semi-urban and rural population. Our aim is to regularize the informal lending sector and digitize the journey for a customer. We are constantly improvising on our mobile application ‘Choice Money’ and making it simple to use for a customer.
Our Advisory business has successfully increased the order book from Rs. 380 Cr last quarter to Rs. 527 Cr this quarter. Our focus is to assist the government in executing projects on the grassroots level and with that in mind to date we have served more than 200k PMAY beneficiaries in the country. We are working closely with the government on their Mission projects to ensure the service delivery to the last mile beneficiary. We are poised for higher growth with strong credentials, a dignified talent pool and technology at the core for operational efficiency in the upcoming quarters.
I am proud to announce that today we are a family of more than 32K Choice Business Associates who are helping us serve customers across India. The coming year is going to be more about expanding our reach and achieving higher revenues each quarter.
From serving customers to innovating new products, we are motivated to be successful at every step of the way and our vision to be “सर्वश्रेष्ठ” is what we aim to be.