Arohan Annual Report 2023-2024

Enhancing Efficiency, Benefiting customers through rate optimisation Arohan’s robust liquidity and capitalization fortify the Company, instilling confidence among its shareholders. This solid financial position enables Arohan to secure borrowing at favorable rates, subsequently extending these benefits to its customers. By prioritizing the needs of our customers, who form the bedrock of the socioeconomic pyramid, Arohan remains steadfast in its commitment to fostering financial inclusion and empowerment. FY 2024 has been a significant year for Arohan with Total Asset and Gross Loan Portfolio at INR 8,115 Cr and INR 7,112 Cr respectively. Arohan closed FY 2024 with the following key financial results: • Total Revenue stands at INR 1,635 Cr. • Pre-Provisions Profit before Taxes stands at INR 591 Cr, reflecting strong business model fundamentals. • Improved earnings along with an increase in Equity Capital base have resulted in healthy CRAR at 29.01%. • The Company’s Net Worth stood at INR 1,915 Cr. While Arohan’s branch network grew from 829 in FY 2023 to 975 in FY 2024. it’s employee strength grew by 16%, from 8,030 in FY 2023 to 9,333 (excluding apprentice) in FY 2024. The Company ensured a comfortable fund position throughout the year to support its business. As on March 2024, the borrowing outstanding was close to INR 6,015 Cr. An analysis of the Company’s financial performance for FY 2024, as compared to the previous year, is given below: INCOME STATEMENT ANALYSIS Revenue Break-up of Revenue for FY 2024 6% 10% 84% Interest Income Fee Income Other Income Revenue has grown by 50% from FY 2023 to FY 2024 which was mainly due to the growth in average AUM during the current financial year over the previous financial year. Management Discussion & Analysis Annual Report 2023-24 | 46

RkJQdWJsaXNoZXIy NTE5NzY=