FROM THE CHAIRMAN'S DESK
Dear Shareholders,
My warm greetings to all of you on behalf of Vibrant Global Capital
Limited. It's privilege to share the Company's performance highlights for the fiscal year
2023-24.
As Vibrant Global enters into the thirtieth year and step forward to
enter into the fourth decade, we are optimistic and confident about progressive future of
the Company. We look ahead with humility and a renewed sense of vision. With your
continued support, I am confident that we will overcome challenges that come our way and
achieve even greater heights of success. NBFCs have emerged as a crucial source of finance
for a large segment of the population, including MSME and all class of economic
households. They have managed to cater to the diverse needs of the borrowers in the
fastest and most efficient manner, by considering various financial requirements of the
all-household class. For the last five years, the market share of NBFCs has been growing
with every passing year and spilling over into the banks' market share. NBFCs &
FinTech organisations have undertaken product innovations to cater to the specific needs
of different customer segments, thereby providing niche product offerings.
Trends in the NBFC sector
The Indian NBFC sector is rapidly transforming across four key areas.
Firstly, digital adoption is increasing, leveragingAI and blockchain for operational
efficiency and innovative product offerings via mobile and online platforms.Secondly,
NBFCs are diversifying, expanding portfolios, forming partnerships and prioritising
customer needs. Thirdly, digital infrastructure is helping reach all sections of
under-servedcustomers, fostering financial incluson. Lastly, regulations are tightening to
ensure compliance, digital processes and consumer protection, reflecting the sector's
adaptation to digitalisation and evolving regulations for sustained growth.
With digital transformation taking place across NBFCs, they are
increasingly focusing on paperless customer acquisition / onboarding, digital
underwriting, disbursements and collections and technology-led product innovations.
Traditional operating models at NBFCs pose a variety of challenges like
high-cost operating models with people and branches, longer lead generation and processing
time, legacy systems and limited data governance. This has significantly limited the
overall business growth for NBFCs. Keeping up with the recent times, NBFCs are gradually
introducing multiple innovative initiatives across the value chain in order to drive
business growth. The regulatory landscape governing NBFCs in India has witnessed
significant evolution over the last five years, driven by emerging risks, market dynamics
and regulatory imperatives. To adapt to these changes, NBFCs' compliance and risk
management functions must evolve to prioritise agility, collaboration and technological
innovation. By fostering a culture of compliance, leveraging advanced technology and
engaging in proactive dialogue with regulators, NBFCs can navigate regulatory complexities
effectively and stay resilient and relevant in the future.
Embracing new technologies to thrive in a competitive market
Post the pandemic, NBFCs witnessed an accelerated shift in adopting
innovative technologies to improve the products being offered by them. Due to the growing
needs of new-age customers, NBFCs are gradually moving towards digitalising their
processes and understanding their potential in the BFSI industry using various technology
solutions.
Keeping up with current trends in the BFSI sector, NBFCs are
increasingly adopting and incorporating various emerging technologies into their existing
systems to reach the unserved and under served population to make financial services more
accessible for them. While traditional models often fall short of catering to a large
population ina seamless manner, models incorporated with emerging technologies can help
NBFCs to bridge the gap in the rapidly growing financial sector.
Way forward for NBFC's
The path to a resilient future for NBFCs hinges on innovative business
models, accelerated technology adoption and robust governance practices. Embracing agile
strategies and collaborative partnerships fosters innovation, while leveraging
cutting-edge technologies enhance competitiveness. Coupled with transparent governance
frameworks, these approaches empower NBFCs to navigate challenges effectively and thrive
in an ever-evolving financial landscape.
Financial Performance during current Fiscal year On Standalone
Business:
The standalone total income during FY 2023-24 is INR 6,347.27 lakhs as
compared to INR 388.24 lakhs during FY 2022-23. The Company recorded profit (after Tax) of
INR 4,222.22 lakhs during current fiscal year as compared to loss (after Tax) of INR
207.74 lakhs during FY 2022-23.
On Consolidated Business:
The consolidated total income increased to INR 24,182.44 lakhs during
current fiscal year as compared to INR 19,731.30 lakhs during previous FY 2022-23. The
Company recorded Profit (after tax) of INR 4767.39 lakhs during current fiscal as compared
to loss (after Tax) of INR 781.70 lakhs during previous FY 2022-23.
The company remains committed to the Corporate Social Responsibility
commitments and welfare of the society at large.
Road Ahead
Having celebrated a decade of success, the company is now positioned
for substantial growth and development, with expectations of achieving unprecedented
profitability. The way forward involves capitalising our strengths to achieve new heights
in profitability and innovation. We are committed to maintaining rigorous financial
discipline, fostering innovation, embracing new opportunities and challenges and building
strong partnerships to drive sustainable growth to secure our position in the industry as
a leader.
Acknowledgment
I would like to extend my gratitude for the incessant support and
guidance by the management team and Independent Directors. I would like to thank all our
regulators, esteemed associates and shareholders for reposing faith and confidence in us.
Finally, I would like to thank all my colleagues and their families for staying focussed
and inspired at all times for driving the performance of the company.
With our commitment to excel, we are mobilized into a new orbit of
future filled with continued innovation and success. Thank you once again for your trust
and belief in our vision. We look forward to your continued cooperation in the years
ahead.
| With best wishes. |
| Vinod Garg |
| Chairman and Managing Director |