Hero FinCorp Limited is a Non-Banking Financial Company (NBFC) engaged in the business of finance and investments, without accepting public deposits. The company has a certificate of registration from the Department of Non-Banking Supervision, Reserve Bank of India.
Business and Operations
•The company’s financing activities, including its leasing portfolio, have seen significant growth. Receivables grew by 20% from ₹25,121 crore in FY 2020-21 to ₹30,231 crore in FY 2021-22. They further grew by 22.98% to ₹46,488 crore in FY 2023-24 from ₹37,800 crore in FY 2022-23.
•Hero FinCorp has a diversified product portfolio with a focus on aiding financial inclusion. It provides various financial products, including two-wheeler loans, pre-owned car loans, loyalty personal loans, inventory funding, loans against property, and loans to small, medium, and emerging corporates.
•In the two-wheeler segment, the company focuses on customers who are typically excluded from the banking network due to limited documentation or credit history.
•The company operates out of 55 locations in the non-retail segment and has the capacity to process 1,000 applications per month, including EMI and no-EMI loans.
•During FY22, the company disbursed loans worth ₹6,094 crore in its SME and Corporate business segment and closed the year with an asset book of ₹11,624 crore.
•The company has a treasury function that manages borrowings and investments, ensuring funds are borrowed at competitive costs and sufficient liquidity is maintained.
•Hero FinCorp obtained a factoring business license from the Reserve Bank of India (RBI) during the financial year ended March 31, 2024.