Thank you very much. We will now begin the question and answer session. The first question is from the line of Sohail Kanalil from ULJK Financial Services Limited.

So, you have seen that we have added the capacity and capability to both. Capability by putting our collection processes automation driven by data science tools and invested on our training and imparting on how to use these tools to our 525 -plus people in the collection. Investing on the technology side, we have set up a tech center of 150 people on the technology of 25 data scientists. And on capacity -wise, we have expanded branch network and added more products. So, growth is coming because of all these reasons. And I think our branches, which if you look at 4 years ago, it was just 120, which is now 1,111 Branch. So, because of those expansions and upfront investment done, they have started yielding the results.

Got it. And also, business per branch, we are at around INR9 crores per branch right now. That itself is much higher than the competition? So any comments on that?

You mean the competition is having or we are having higher?

We are having higher?

So, our per branch gold loan AUM is almost now in March is in the range of about INR10 crores. And I think it is because of that right selection of the branches and right way of servicing the customer so he is coming to us for repeat business by building the digital journey. And also our customer service, which is quite transparent where without using pen and paper the entire disbursal happens. I think because of that, we are able to build this AUM and I think, there's a lot of potential still exists ahead on ground to continue to remain on this growth path.

The next question is from the line of Shalin Kapadia from IIFL Capital. Mr. Shalin, I would request you to unmute your line and speak, please. Due to no response from the current participant, we will move on to the next participant. The next question is from the line of Jay Mistry from Equirus Securities.

Congratulations on a great set of numbers, sir. So, I had 2 questions. The first question was on the yields of the gold loan, which are now at approximately 22% level. So, like with competition increasing and there's some regulatory scrutiny also hovering, so how does CGCL retain, would be retaining such yields in the current environment? And like to maintain these yields, would we be any way compromising on LTV or asset quality front in the future? That was the first question. And on the second question, we are seeing that our construction finance vertical has seen a quite uptick in the last couple of quarters. So, like what would be the key drivers for this acceleration? Like are we adding new developers? Or is it because of pent up demand or something? So those are my 2 questions, sir.

So, regarding the yield of gold loan, I think the more the retail portfolio we build, the yield can be around that level. Of course, it depends on the overall market as well as the demand and interest rate scenario. But in the near future, we don't see any sharp decline in our ROI of the gold loan offering. And whether these are or will it impact our future growth if you look at some of the competition, they are in the similar range. It will depend on company -to-company what strategy they drive and how they want to do it, but it has no direct impact or bearing on the asset quality or LTV. LTV is about 71%, which is within the overall ceiling of 75%. And in regards to asset quality, you see that our gold loan portfolio average maturity is not more than 6 months. So, every loan is getting closed within that period of time and those impacts are coming - there's no asset quality issues. So, we have seen that the asset quality has remained very stable. So, there are no surprises on that part. Coming back to construction finance, the book is about INR4,100 crores. And in couple of last quarter, we have seen that there was a lot of good demand in terms of realization and the sale of those projects, and we have seen good traction. But overall construction finance will always remain at a conservative level, not more than 20%. By following that, while the growth has been good, so is the collection, so is the asset quality. And that gives the confidence that overall, if the economy continues to grow, this construction finance will also continue to grow by maintaining a healthy book.

The next question is from the line of Mayank Mistry, from JM Financial.

I had two questions. First, is that our geographical presence seems more focused on North? So is this because the company competitive intensity is high in South or our focus is only on North. Or should we see the company expanding wings in the South going forward? And my second question is that in the gold loan book, how much would be our consumption level and how much would be income generation? Because as per the latest guidelines I think there would be some more difficulties in the consumption-led gold loans. So, would you throw some light on the sir?

Yes. Mayank, so in regards to our expansion strategy so far, we have been very active in the North and West. But recently, we have entered in the South by opening Micro LAP branches. And this year, we'll be entering in the South by adding more housing finance , MSME, and gold loan branches. So, in the second half, you will see that these segments will have branch network in Southern states like Andhra, Telangana, Tamil Nadu, Karnataka. So, we'll grow in that segment and that geography as well. Now coming to bifurcation of the gold loan between the self -employed non-professionals or for the purpose of consumption or for the purpose of business. So, while exact data I may not be able to give you right now. But by and large, these people who borrow money, they are running some kind of a business. Now at the moment , we aren’t tracking whether he is using the money for business purpose or consumption purpose. Of course, now the new guidelines have come but essentially all these loans are taken by some micro entrepreneur. And how many percent is going to business that is not yet trackable. Now once the guidelines which are draft once finally get s notified, we will adopt in our underwriting standard as well as the customer onboarding process, noting that for what purpose he is borrowing the money. And that time probably you'll get the precise number.

Okay. And one more question is on the car loan origination. I would like to know how the risk is in this business? I mean the CGCL take the whole risk book and while the fund is being disbursed by the bank, or how does this business work exactly?

So, this is a pure fee vertical where we just originate the lead and share. There's no capital involved, there's no risk involved. So, there's nothing but purely the fee income. The loan disbursement is decided by the bank, their underwriting rule. Our job is to just generate the lead and share with them. If they sanction or they reject it is up to them. But every case which is sanctioned and disbursed, we get our fees on that origination. It is pure DSA arrangement.

The next question is from the line of Satyaprakash Pandey from Haitong Securities.

I have two questions. First is your spreads improved quarter -on-quarter due to higher yields, but cost of funding is highly rising, approximately 9.5%. What is your view on the spread sustainability if systemic liquidity tightens further or if credit rating don't improve materially?

Cost of funds I think this year we've seen that the Reserve Bank of India has started releasing the liquidity. And rates have gradually, repo rate have come down. We clearly see there is no scenario of interest rate going up based on these indicators. And we believe that rates will soften on our incremental borrowing. And with regards to the rating upgrade . Now that the annual results have come out , we will approach the rating agency and they will see where it fits into. So interest rate going up, there is no scenario. In case we get rating upgraded, of course then there will be risk weightage change. And of course, incremental borrowing on immediate basis will get our cost of funds to come down on existing borrowing. Whenever the interest loan reset happens, that is the time when the interest rate is reset for the lower side and upgrade of the rating have happened.

Okay. My second question, can you break down the internal movement of account between Stage 1, 2 and 3 for the past 3 quarters. There are all geographies I have seeing higher migration risk and how are you adjusting underwriting filters accordingly?

So I will ask my colleague, Rajneesh, to take this question up.

So Stage 1 and 2, gross is around, the numbers are in millions so it is 1,84,917.

So, if you refer to the Slide 26 of earnings presentation…

So, should I call out numbers?

No, it is okay, Il take it from there.

So, if you refer to the Slide 26 of the earnings presentation, there is a detailed breakdown of Stage 1, 2 and 3, along with the ECL provision for each of the stages for the last 5 quarters, including PCR.

The next question is from the line of Shalin Kapadia from IIFL Capital.

I have two questions, please. So, with increasing digitization, how are you addressing the emerging risks such as algorithmic bias in the credit scoring model or cybersecurity threats in loan disbursal and repayment ecosystems? And secondly, sir, in a scenario where RBI further tightens the norms on LTV or co -lending exposure, what contingency frameworks are in place to preserve margins, liquidity and disbursal momentum without raising the risk thresholds?

I'll take the second question first regarding the co -lending, recently RBI has come out with a draft guideline. It talks about how the LTV should be calculated. And what are the other measures in terms of whether the end use of the loan aspect is to be done. So, if you talk about LTV-related norms on the gold loan, I think that is going to benefit the overall sector, everybody where LTV will become little conservative for the bullet repayment loan. As regard to other aspects, I think that is only improving the compliance that is not going to reduce the demand or the cost part of it. Of course, initially, once the new guidelines come on the technology side , with our banking partner the alignment between the two organizations about the technology platform of API rather has to be done. But that is not going to change the earnings and the rate of interest and how the customer is serviced. That is more on the compliance and the customer given the churn statement and the common yield and all that. And with regards to increased digitization and cybersecurity threat, I think we already have engaged our consulting partner which include KPMG and BCG on the technology side, and we are using a few vendors to meet those requirements on a continuous basis. Recently, we have appointed internally, E&Y from an assignment to strengthen the overall system. So that is ongoing. Now technology is not going to be a one -time affair. It is on a continuous basis getting changed, getting upgraded and keep on going. So, I think if you see that we are spending close to about INR90 crores to INR100 crores a year on our technology, data science and other things on this aspect. So, we are heavily invested on this. And that becomes a part of it, no need to especially focus that something has to be done. It is an ongoing affair about upgrading based on the recent trend s, guidelines and regulations.

The next question is from the line of Shripal Doshi from Equirus Securities.

I had this question on LTV. I don't know if you already answered. So, within gold there are couple of trends that are emerging. Firstly, the ticket size that we are targeting is inching upward. Secondly also the LTV, now typically with this new regulation coming in. Where in regulator is asking to have 75% LTV is been monitored throughout the loan tenure. And yet LTV is increasing in the quarter so, just wanted to understand the implication of this LTV norms by the regulator. And also, our strategy on ticket size within gold going ahead?

So our ticket size in gold is going to be more or less so granular that it will be in the range of INR1 lakh only. And it is not going to change dramatically. Second thing is that about LTV norm, the RBI is saying bullet repayment cases, these are the draft guidelines, you must calculate the interest which is going to accrue as a part of LTV, thereby it means that your loan amount will be on the lower side. So, LTV will get effectively reduced to that extent. So overall, it is a positive , while the gold has not depreciated in a drastic manner whenever in the future it happens it create extra safety buffer LTV for these kinds of loan-to-value loans. It is being applied to overall everyone. So entire gold loan lending sector will adjust to these regulations and it is not going to have a long-term impact maybe initially you have to adjust it. But since these loans are always getting reset in 4 to 6 months and loans are getting foreclosed because tenure is not longer, it is not going to have a longer impact. Had these loans been 10, 12 years due to adjust, it creates a case of recovering that kind of amount to bring that LTV down. But being these are shorter period of loan; it doesn't pose a risk. So, I believe the entire sector will adjust to these norms.

Correct. So just one follow-up here, with respect to so what percent of our gold book would be bullet repayment book?

So, I do not have exact number as of now. In case you require, we can take it out and do it separately. But we run the scheme where the interest is also offered monthly by choice or by options or by design. And some of the cases are on a bullet repayment basis, but that bifurcation is not available because we are not segregated that way. It will require specifics; we can carve it out and give it to you.

So just from the, like more from the trend perspective rather than from number perspective here, so the question is that at system level, would you say that majority of the loans that the NBFCs are doing would be more or less bullet repayment as an option? And one more clarification that I needed here. So, when you say bullet repayment, is it like anybody paying, interest component at, let's say, even if you did a 12 -month annual product, and if the customer makes interest repayment to me, let's say, at the sixth -year end, sixth month end, even that will be classified as a bullet repayment only, right?

So to give precisely your answer, there are various options and schemes customer has to choose. And if the loan has been given on the monthly repayment basis and he doesn't pay any pay of the bullet, that will not classify the bullet repayment scheme. Bullet repayment scheme on the day one, we decide that they will not pay any interest, then pay at the end of the repayment and interest together. So somebody is paying quarterly interest or monthly interest will not qualify in the bullet repayment nomenclatures. Now, there are various lenders also follow the process, and their customer has option to switch. That initially they take the bullet but they end up paying monthly or quarterly as and when. So, they are allowed to switch from one scheme to other by paying nominal charges of INR500 or something like that depending on what are the design of that scheme is. So, to pinpoint who is doing what and what is everybody's percentage is difficult to say at the moment. But I think when common regulation comes, this is not something affect one player or other and everybody will adjust it. Ultimately, gold loan market, if you see, growth is coming from informal segment to formal segment. Gold loan segment you are talking about, if you look at new players are coming, old players are continuing to grow 20%, 25% and new players are also growing. Thereby, it means there is a clear-cut market opportunity gap at this. It is not that four new players have come in and the old player market share has gone down or absolute AUM has gone down. Then some of the largest players are growing at the pace of 18%-20% year after year.

But, sir, our tenure is not so solid. Right? Like, at system level also, like, I mean but I'll take that question separately. But just one question here was that so now incrementally, we have to classify a loan from day zero itself that it will be bullet repayment or it will be monthly repayment, and then accordingly decide the LTV. However, that switching option which industry currently had, like, typically, at the time of disbursement, we give him a monthly repayment option, and then the customer moves to a bullet repayment. And then the interest rate changes typically. At the time of disbursement, i f it is 11% per annum, it gets shifted to 20% if, you know, he's going from the bullet repayment as an option. So now you believe now the incremental policy limit and on day zero, you have to, decide monthly on bullet repayment and he's going f or monthly and then trying to switch to bullet equivalent, he cannot do that. Is it so?

He can do that provided he adjust to the new norm of LTV as and when they are declared. Okay. So, suppose, put your question straight, suppose you have INR1 Lakh of loan, it is given at the 14% percent rate of interest for six months and 7% is there interest, LTV will get adjusted, registered at 75%, INR75,000 of loan. You are supposed to give only INR68,000 of loan to him. So only that much adjustment has to be done.

Right. Got it. So that much principle repayment the customer will have to do. Got it. This is very helpful. Thank you for answering my questions, and we can. Thank you.

Thank you. The next question is from the line of Bhavin Pande from Athena Investments. Please go ahead.

Thank you for the opportunity. So, if we look at Slide 17, a non -interest income has moved up significantly sequentially almost 2x of last quarter. So, what are the components that have contributed to this kind of a bump up? And also, what was the share of the insurance distribution business in this?

Hardik, you take that question.

Yes. So, in the fourth quarter, you see the bump up in the other non -interest income. There is a component of insurance income also in that. I will give you the exact number how much it is. So, around INR34 crores out of those INR102 crores that you see, is coming from the insurance. And as you know that we started doing insurance distribution from fourth quarter of last financial year. And since then, the insurance income has been kind of on a strong upward trajectory. For the full year, we have a net fee from the insurance of around INR73 crores.

Okay. And are there the sources that also continue to be apart from insurance, would you expand on those?

Yes. So, in total, our non -interest income is comprising of three components. One is car loan - net Car Loan Origination fee. That was around INR24 crores for the fourth quarter FY 25. The other component is co -lending income, which was around INR55 crores. And the co -lending income is proportionate to the growth rate. So, higher the disbursement, higher the loan book growth, a nd also, the percentage of AUM that is under the co -lending. So, if you see from third quarter FY '25 to fourth quarter FY '25, a percentage of co -lending AUM has remained flat. So, this increase that you see from INR29 crores to INR55 crores is largely coming from the higher disbursal and the growth in the loan book. And the third component within the non -interest income is the insurance fee income, which as I mentioned is INR34 crores for the fourth quarter FY '25 and INR73 crores for the full year. And apart from that, there are other components like treasury income, which is more like an investment income.

Okay. That was really helpful. And sir, when we look at Micro LAP and Solar Rooftop kind of businesses, how have they performed specifically in this quarter? Also, we have seen some sort of subdued performance in the MSME portfolio as compared to other segments. So, what would be the strategy around these two segments and overall MSME book from a strategic vantage point going forward?

So, our focus was on the MSME that we have grown, and micro-LAPs have been added. Since we were more focusing on the gold loan and we wanted to contain our growth within 50% range, as per the direction of our Board . So, we have diverted all our credit line towards the high yield product, which is the gold loan. However, this year, we are going to add more branches in micro LAP and MSME. And this year, we intend to grow that segment again the normal growth about 15% to 20% kind of a growth in the MSME segment. And that segment will yield a good amount of profit because we understand that segment very well, we have been doing that segment since the last almost thirteen years. So, this year, you will see a lot of branch additions happening in that and growth will be back.

Okay. That was really helpful, and good luck. Thank you.

The next question is from the line of Varun Kumar, who is an Individual Investor. Please go ahead.

Hi. Congratulations for the good numbers. I just wanted to ask what will be the outlook for FY '26 regarding growth?

So, you wanted to know overall outlook or is it only gold?

Growth outlook.

Okay. So, growth outlook - we will continue to grow our book in all segments. And I think what we are aiming, earlier also. In the next few years, we are going to be growth in the range of 27% to 30% kind of range and we intend to reach INR50,000 crores of AUM book by FY '28. And we have already invested in technology and collection. And now we are building our branch network and since our tech center is already built, so its more about keeping the pace ahead of others. So, I think INR50,000 crores reaching by FY '28 should be feasible. We are working on that.

Okay. Thank you.

About our ROE, while we will remain in the growth phase, but 1.5% to 2% ROE we intend to generate from pure free income play. And about overall ROE, we should be in the range of about 16% despite these new branches opex will get absorbed. So, on a steady state, our ROE could have been higher. But yes, since you wanted to grow, couple of 200 basis kind of impact of that will come. But we'll maintain the steady state ROE in the range of 16% in next few years.

The next question is from the line of Arup, who is an Individual Investor. Please go ahead.

What kind of leverage ratio are you comfortable with? And do you have any QIP plan in mind for the next one year?

Yes, sure. So, I think in terms of the leverage, currently, we are around 3.5x, on a debt -to- equity basis. We will not go above, 4x kind of a level, and that is something that we have maintained historically also. In terms of the fundraising plan, we have taken the board resolution, as all of you guys would know, for the INR2,000 crores. And the timing of the fundraising would be based on the market conditions. So, we continue to evaluate that, but I think the exact timing would depend on the market conditions and how things play out from here onwards.

Okay. Thank you.

Thank you. Ladies and gentlemen, that was the last question for today. I now hand the conference over to the management for closing comments.

Yes. Thank you. As we move into FY '26, we believe our core strategy focused on secure, granular lending, positions us well to capture sustained demand across MSME affordable housing, micro-LAP, gold loan and construction finance. Each of these segments offer large, underpenetrated opportunities in our distribution footprint, combined with the disciplined underwriting and deep product expertise, gives us a clear advantage. We will continue to invest in technology and analytics, not only to improve turnaround times and risk assessment, but also to drive better productivity and customer experience across the board. With a fully secured book, improving operating metrics and healthy asset quality, we feel confident in managing credit cost even as we scale. On the liability side, we are seeing strong engagement from lenders and remain well positioned to secure diversified and cost-effective funding as we grow. As the Indian economy continues to grow strongly and the market for retail lending continue s to expand further, we are confident of capturing the huge opportunity available to us to grow strongly at 27% to 30% CAGR and deliver sustainable ROE of 16% plus by FY '28. Thank you once again for your continued support, and we look forward to continuing to engage in the quarters ahead.

Thank you. On behalf of Go India Advisors, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.