Mumbai, July 28, 2023: L&T Finance (LTF), one of the leading Non-Banking Financial Companies of the country, announces robust business performance of the Rural Business Finance vertical for the financial year 2022-23 surpassing industry growth with Assets Under Management growth at 41% and disbursement growth at 70%.
Key factors which contributed to this exceptional performance include:
- Strong customer profile: Persistent focus on customer value management has allowed LTF to capitalize on the strong customer profile showcased by over 50% repeat business volumes. Further, 40% of the Company’s customers are exclusive to LTF only exhibiting the strength of the Company’s customer engagement and optimal loan offerings
- Digitally enabled workflows: Consistent focus on digital-driven processes assisted by in-house tech architecture has resulted in increased customer outreach and business scalability along with improved efficiencies and customer journeys
- Prudent risk management: Stringent policy and process norms backed by strong reliance on data analytics have allowed the Company to acquire the right set of customers and build/sustain a robust portfolio
The resilience and favourable credit demand shown by the rural sector has allowed LTF in the financial year 2022-23 to focus on expanding and deepening its geo-presence with focus on targeted locations like Orissa, Uttar Pradesh, Rajasthan, and Karnataka. Currently, LTF has over 1,700 active branches across the country through which it promotes rural women entrepreneurship. For the financial year 2023-24, the focus will be on capitalizing on the strong geo-presence along with enhancing customer offerings both in terms of new products and current product enhancements.
Speaking on the growth, Ms. Sonia Krishnankutty, Chief Executive – Rural Business Finance, Customer Services & Operations at L&T Finance said, “The remarkable performance of Rural Business Finance for the financial year 2022-23 is in line with our ‘Lakshya 2026’ goal to be a top-class retail finance company built on the foundation of achieving sustained growth and profitability along with robust risk management delivered through focus on cutting edge tech and ESG initiatives. For the financial year 2023-24, Rural Business Finance will aim to sustain its growth momentum through streamlining existing business processes, launch of new products and enhanced customer experience and engagement.”