Moneyboxx Finance AUM crosses Rs100 crore, targets AUM of Rs400 crore in FY23; Stock gains 3.5%

10 Mar 2022 , 09:52 AM

Moneyboxx Finance Limited has crossed milestone of Rs100 crore AUM in Jan 2022, driven by rising branch productivity and strong disbursements in Q3FY22. Cumulative disbursements reached Rs168 crore as on Jan’22, The Company, which raised Rs14.41 crore of Equity in Dec’21 and is supported by 17 lenders, plans to add 6 branches by March 2022, taking its branch network to 30 in 5 states. The company targets AUM of Rs400 crore in FY’23.

Balanced and diversified business model with focus on essential sectors: Company’s AUM is well diversified across geographies and sectors with focus on essential sectors and services, thus lending stability to portfolio quality. AUM is well diversified across states with no single state accounting for more than 35% of AUM as of Jan’22.

Transforming lives: Moneyboxx is driving financial inclusion by providing credit for income generation to underserved micro enterprises in Tier-IIl and below places in India. Moneyboxx has so far transformed lives of more than 12,000 borrowers of which 26% were women entrepreneurs and 31% first-time borrowers.

“We are enabling multi-fold increase in disposable income of our borrowers by providing credit for asset purchase, working capital and income generation purposes, thus creating a sustainable impact beyond just capital. Our loans can lead to doubling of an agri-entrepreneur in three years and bring a transformational change. Moneyboxx is possibly the only NBFC in India which is hiring Vets in branches to help dairy farmers improve milk-yield and cattle health. Thus, it is committed to bring a positive change even beyond financing”, said company.

Commenting on the key milestone, Deepak Aggarwal, Co-founder, Moneyboxx Finance Ltd said, “We see tremendous growth opportunity in Rs1-10 lacs loan segment given the huge credit gap for micro enterprises and presence of very few focused players in this segment. We have a robust and highly scalable business model which is powered by entirely digital process and risk analytics and have solid branch unit economics with low capex and operating costs.

We have a proven business model to service this segment with robust underwriting practices and one of the best asset quality metrics in the industry (Dec’21 GNPA 0.68%). We plan to reach AUM of Rs400 crore by FY23 with planned capital raise and growing & continuous support from our lenders.”

At around 9:54 AM, Moneyboxx Finance was trading at Rs114.95 per share higher by 3.5% on Sensex.