utkarsh voice...no. of branches in delhi - ncr 9 9 8 no. of branches in uttarakhand 13 13 7 no. of...

UTKARSH VOICE Q1 [FY 15-16] : Volume-7, Issue-1

1

Q1 FY 2015-16 Highlights

The Company closed Q1 FY 2015-16 with more than 6.77 lakh active clients.

Under the microfinance outreach of JLG portfolio the active client base almost doubled on

a year to year basis (from 358,437 as on Jun 30, 2014 to 668,810 as on Jun 30, 2015).

The cumulative disbursement figures have also almost doubled from `10,603.1 Mn till

June 30, 2014 to `20,339.2 Mn till June 30, 2015.

Through the MEL business, the company reached 8,100 active clients by Jun 30, 2015

which was more than 2.65 times of 3,054 active clients as on Jun 30, 2014.

A major development during Q1 FY 2015-16 was to launch the Housing Loan (HL) product

with a ticket size from ̀ 1,00,000 to ̀ 5,00,000. The company disbursed HL to 7 active clients

during the quarter with a total outstanding of `0.7 Mn.

The client friendly approach of Utkarsh was given special recognition by the SMART

CAMPAIGN CLIENT PROTECTION CERTIFICATION.

This has been possible with the synergetic efforts of 1,973 members of Team Utkarsh (as

on June 30, 2015, which was 1,252 as on June 30, 2014) through 268 branches with 251

JLG & 17 MEL Branches.

The company’s Top and Senior Management brain stormed on Business Plan Strategy FY

2015-16 for 2 days at Head office and the team had further meetings at Regional / Divisional

levels to deliberate upon the same with field level employees.

Under the Credit Plus initiatives, the company continued its CSR activities and support to

unserved segment of the society. A Mega Health Camp was also organized through

Samutkarsh Welfare Services. The solar loan initiative was not taken forward from this

quarter.

In recognition of the performance through Annual Performance Appraisal, the company

sent the 1st

batch of 45 employees (representing operations and non-operations) for an

international tour to Nepal.


2

New Incumbent in Utkarsh Board of Directors

Shubhalakshmi Aamod Panse (Independent Director)

Having more than 3 decades of experience in diverse disciplines of

banking sector like credit management, recovery, treasury and

information technology. Retired as Chairman and Managing Director of

Allahabad Bank and also been Executive Director in Vijaya Bank and

General Manager in Bank of Maharashtra. Was the 1st Woman to lead

India’s oldest bank (Allahabad Bank).

Tantra Narayan Thakur (Independent Director)

Having extensive experience in power sector and government setups

while working with PTC India Ltd. (formerly Power Trading Corporation

of India Ltd.) and Indian Audit and Accounts Services. Has been Deputy

Secretary in Government of India, Asstt. Comptroller & Auditor General,

Secretary to Chief Minister, Bihar and as Chairman / Advisory of many

Energy Forums.

Sushma Kaushik (Nominee Director from Aavishkaar Goodwell)

Having extensive experience in financial services, real estate,

hospitality and education sector while working with Aavishkaar,

Starwood Capital India Advisors and Ashoka - Innovators for the Public

(especially worked with social entrepreneurs in the "Housing for ALL"

initiative).

Resignation from Board of Directors in Utkarsh:

1. Vijayalakshmi Das (Independent Director).

2. Ajay Bhupendra Maniar (Nominee Director from Aavishkaar Goodwell).

Employee Speak “…”

“I joined Utkarsh Micro Finance Pvt. Ltd. as Trainee Credit Officer (TCO) in January

2013. With more than 2 years of my career at Utkarsh my efforts were recognized

by the management and I was promoted as Acting Branch Manager of Ashok Vihar

Branch. Utkarsh provides enabling environment to tap growth opportunities to all

its employees without any differentiation. At Utkarsh I have got wonderful

opportunity to learn and develop myself professionally and personally as well.”

Excerpts from a talk with Ms. Ritu Kumari, Acting Branch Manager - Ashok Vihar, Varanasi.


3

Operational Highlights

The company further expanded in new geographies of its 8 operational States. The 8 states

being, Uttar Pradesh, Bihar, Maharashtra, Madhya Pradesh, Delhi-NCR, Uttarakhand,

Himachal Pradesh and Haryana. The total districts being covered in 8 states grew to 68.

The Branch Network expanded to 268 [251 JLG Branches and 17 MEL Branches] for

serving more than 6.77 lakh active clients. At the end of Q1 FY 2015-16, the JLG business

stood at an outstanding of `7,685.2 Mn, the Micro Enterprise Loan business at `422.5 Mn

and the Housing Loan business at `0.7 Mn, thereby making a total portfolio of `8,108.4

Mn.

A comparative summary of the operational highlights of the company is as below:

Particulars As on Jun.

30, 2015 As on Mar.

31, 2015 As on June

30, 2014 MICROFINANCE OUTREACH

No. of States 8 8 8

No. of Districts 68 65 46

Total No. of Branches 251 240 166

No. of Branches in Uttar Pradesh 92 87 79

No. of Branches in Bihar 81 77 52

No. of Branches in Maharashtra 26 26 8

No. of Branches in Madhya Pradesh 18 18 10

No. of Branches in Delhi - NCR 9 9 8

No. of Branches in Uttarakhand 13 13 7

No. of Branches in Himachal Pradesh 1 1 1

No. of Branches in Haryana 11 9 1

Total No. of Centers 41,957 37,752 23,134

Total No. of Groups 172,807 152,206 85,844

Total No. of Members 720,226 639,753 381,096

Total No. of Clients 669,810 601,465 358,437

Total Disbursement – Cumulative ( in Mn) 20,339.2 17,663.9 10,603.1

Loan Outstanding ( in Mn) (Own+ Managed) 7,685.2 6,922.8 4,055.3

Total No. of Loan Disbursed 1,344,113 1,189,081 761,126

Total No. of Credit Officers 1,066 972 705

No. of Client Per Credit Officer 628 619 508

Repayment Rate (%) 99.8% 99.9% 100%

Par > 30 Days

No. of Clients 262 214 37

Amount ( In Mn) 2.17 1.81 0.33

MICRO ENTERPRISES LENDING

No. of States 4 4 3



Total No. of Loan Disbursed 9,333 7,792 3,268

Total No. of Clients 8,100 6,823 3,054

Total Disbursement – Cumulative ( in Mn) 616.0 502.3 192.6

Loan Outstanding ( in Mn) (Own +Managed) 422.5 358.1 145.6


4

MICRO ENTERPRISES LENDING…cont.

No. of Relationship Officer (RO) 118 83 62

No. of Clients /RO 69 82 49

PAR > 30 Days

No. of Clients 277 87 2

Amount (In Mn) 9.49 3.71 0.05

NATIONAL PENSION SYSTEM (NPS)

No. of States 2 2 2



No. of Accounts 34,151 34,015 18,882

Total Subscription-Cumulative ( in Mn) 10.45 10.24 4.20

EMPLOYEES

Operational Employees 1824 1619 1152

Total Employees 1973 1752 1252

EMPLOYEE DETAILS:

Particulars As on Jun. 30, 2015

As on Mar. 31, 2015

JLG Operation 1634 1476

MEL Team 190 143

Support and Control Team 149 133

TOTAL 1,973 1752

Financial Performance

The Company achieved a PBT of `126.2 Mn for the FY 15-16. Important financial

parameters are as below:

Particulars As on Jun 30,

2015 (Unaudited) As on Mar 31, 2015 (Audited)

As on Jun 30, 2014 (Unaudited)

Income (` in Mn) 512.9 1349.6 259.0

Expenses (` in Mn) 386.7 1084.8 220.5

Profit Before Tax (` in Mn) 126.2 264.8 38.5

Net Worth (` in Mn) 2398.6 2322.4 765.3

Key indicators Q1 FY 2015-16-

Key Indicators As on Jun 30,

2015 (Unaudited) As on Mar 31, 2015 (Audited)

As on Jun 30, 2014 (Unaudited)

CRAR 31.8% 35.1% 18.9%

Operating Self Sufficiency

(OSS)

133.7% 125.2% 118.1%

ROA 2.6% 2.6% 1.9%

ROE 13.1% 12.5% 11.9%

Debt Equity 2.7 2.9 4.8

Operating expense ratio 7.0% 7.7% 7.9%

Cost of borrowing 14.5% 14.0% 14.7%

Repayment rate 99.8% 99.9% 99.9%


5

SOCIAL INTERVENTIONS (Credit Plus Activities) Health Initiatives

In order to provide low cost medical facility, Samutkarsh Welfare Services (SWS) has tied

up with Ram Krishna Sewashram Hospital Ojhala, Mirzapur and GV Meditech Group,

Varanasi for operating Poly Clinic at 6 branches. This has been done to provide free

medical facilities to the beneficiaries.

The Poly Clinic opens for the beneficiaries for medical treatment and medication at

fortnightly intervals. A total of 31 Poly Clinic Days were organized in Q1 FY 2015-16,

benefiting 1950 patients. Company plans to expand this initiative in many more branches.

Financial Awareness (In association with IFC) During Q1, the company organized training program on Financial Awareness for the

clients. The training had 7 modules on financial management.

Organized through 9 Branches, the training witnessed a footfall of 11,083 beneficiaries. By

June 30, 2015, a total of 9,752 beneficiaries completed all their training modules under

financial awareness.

In May 2015, a new project was launched under Swiss Capacity Building Facility (SCBF) –

ACCION. Till June 30, 2015, 1,655 beneficiaries attended the training and 1,508

successfully completed the same.

Vocational Training – Agarbatti Rolling Project SWS is providing continuous training on incense stick production in 20 villages of Harahua

Block of Varanasi district. Total production of raw Agarbatti till June 30, 2015 was 503.5 kg

and that of scented Agarbatti was 157 kg. Moreover, 320 kg of raw Agarbatti and 134.7 kg

of scented Agarbatti produced so far by the beneficiaries were linked to the market.


6

Success Stories – as clients speak “…”

This is a story of Bechni Devi of

Harahua village, just few

kilometers from the holy city of

Varanasi, Uttar Pradesh. This

village is served by one of the

initial branches of Utkarsh.

Utkarsh has been providing

vocational training at this village

since May 2011.

Bechni Devi is a widow who lives

in the village with her three sons

and one daughter. Her husband

was the only earning member

but when she fell ill, the family’s

income dried up. Coupled with

medical expenses and

inadequate treatment, Bechni

got widowed and was left alone

to feed her family.

She began borrowing money from local money lender at exhorbitant interest rate and was

unable to pay back the installments.

During her hardship she came to know about the CSR initiatives of Utkarsh from a woman

of her village, who informed her about the vocational training being provided for Agarbatti

making. She was motivated to join the training.

She underwent the vocational training classes. Bechni became an active member and was

able to make (roll) 50 to 70 kgs of Agarbatti on weekly basis and in return started earning

which was enough for her to feed and up-bring her children. Utkarsh also helped her to

link these products to the market.

Gradually things started improving and her life became easier, her children started going

to school and she made her house “pakka” (cemented).

Bechni is a happy and confident lady now. She is thankful to Utkarsh for providing timely

help and a source of regular income (especially at the time when she needed it the most).

She says that it was not merely a help for her, it was something which made her confident

to live a better life and happily up bring all her children.


7

UTKARSH in NEWS


8

Photo Gallery: UTKARSH ACTIVITIES

Client Meet at Chandwak, Jaunpur on June 25, 2015

Mega Health Camp Bihsara, Mirzapur on June 24, 2015


9

SMART CAMPAIGN CERTIFICATION


10

Your feedback is important to us. Please write to us at:

Manager, Corporate Communication, Utkarsh Micro Finance Private Ltd. S2/639-56, Varuna Vihar Colony, J.P. Mehta Road, Cant., Varanasi - 221002, Uttar Pradesh

E-mail ID [email protected] website www.utkarshmfi.com

Strategy Meet of Utkarsh on April 17, 2015

Board Meeting of UTKARSH on May 21, 2015

mailto:[email protected]

http://www.utkarshmfi.com/

utkarsh voice...no. of branches in delhi - ncr 9 9 8 no. of branches in uttarakhand 13 13 7 no. of...

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