Lendingkart records profit after tax of 120 crores in FY-23


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Lendingkart Records Profit After Tax Of 120 Crores In Fy-23

  • Disbursements grew by 44% compared to FY22
  • In FY23, the company recorded a PAT of Rs 120 crore
  • Growth was led by its co-lending platform business which jumped over 2.5x Y-o-Y.

Lendingkart Group today announced that it has grown its loan book by 44 percent during the year 2022-23. Clocking around 1000 crore disbursal rate per quarter, Lendingkart ended the year with a total disbursement of around 4000 crores. Recording profitable growth in the last six quarters, the group has disbursed around 14,000 crores empowering MSMEs across 4000+ cities and towns in 11,700 pin codes.

Over 80% of the total loans were disbursed through 20+ co-lending partners (banks and NBFCs) powered by Lendingkart tech platform “2gthr”, witnessing 146% growth compared to FY22. With these disbursements, Lendingkart’s accumulative disbursals grew by 1.5x Y-o-Y indicating a positive business/recovery sentiment. With the impact of COVID-19 waning, Lendingkart Group saw a growing interest in its services and products from the resilient MSME sector in India.

Commenting on disbursements, Harshvardhan Lunia, Founder & CEO at Lendingkart Group said, “Amidst India’s economic recovery, the MSME segment is poised to play a pivotal role in accelerating recovery and needs to be provided with enhanced financial support. The exponential rise in disbursements indicates the buoyancy of the MSME ecosystem and potential growth expected this year. Our profitable growth in FY23 is a testimony to our fantastic partners and especially our customers who’ve trusted us as an engine to power their growth. Lendingkart will continue to commit itself to address the emerging needs of these small businesses through a robust portfolio of products & services designed to promote financial inclusiveness as well as strategic partnerships with the country’s eminent financial institutions. We firmly believe that a collaborative approach will enable us to better serve the underserved and drive greater efficiencies and opportunities.”

With the goal of creating seamless access to financing across the country, Lendingkart’s co-lending business has seen exponential growth backed by strategic partnerships with Punjab National Bank, SDM Bank, Bank of Maharashtra & Canara Bank, Amazon amongst others. Through its proprietary co-origination/co-lending platform “2gthr”, Lendingkart has created a simple yet seamless experience by providing MSMEs improved access to eminent financial institutions across 4000+ cities across India.

The company also plans to launch an MSME focused credit card among other financial products and expand its portfolio to continue its momentum in supporting MSMEs countrywide.

In a short span of time, Lendingkart has established its leadership position in the digital lending industry with the largest geographical footprint in India, providing speedy, convenient, and collateral-free MSME financing. The company has been at the forefront in leveraging various digital tools such as video KYC, participating with India stack, e-NACH, e-sign, and others. This has tremendously enhanced Lendingkart’s capability to deliver its services pan India with no branch presence to the remotest parts of the country. The platform is supported by a world-class technology infrastructure that allows zero physical touchpoints, and a customer-centric and transparent loan process for borrowers as well as lending partners. Lendingkart’s underwriting model is not limited to a traditional financial basis and instead adopts a holistic approach of evaluating alternate customer data e.g., bank data and GST data to estimate the customer creditworthiness. The underwriting is based on its proprietary machine-learning model working on close to 5,000+ variables for each loan, which has resulted in strong portfolio performance.

In a deal of cash and equity, Lendingkart Technologies Pvt. Ltd recently acquired retail lender Upwards Fintech to offer personal loans to small businesses Upwards valued at ₹100-120 crore. Awarded with the Great Place To Work stamp for 2023-2024, Lendingkart Group was also named in The Economic Times’ Best BFSI Brands 2023.

About Lendingkart Group:

Founded in 2014 by Harshvardhan Lunia, Lendingkart has offices in Ahmedabad, Bengaluru, Mumbai, and Gurugram, and has service reach across India. The group is financed by reputed international investors like Fullerton Financial Holding (FFH) (100% subsidiary of Singapore Sovereign Fund Temasek Holdings), Bertelsmann, Mayfield India, Saama Capital, Sistema Asia, India Quotient, and others and has raised around ₹ 1050 Crores of equity till date.

Lendingkart Group is a fintech startup in the working capital space. The Company has developed technology tools based on big data analysis and machine learning algorithms which facilitate lenders to evaluate borrower’s creditworthiness and provide other related services.

Lendingkart Group is on a mission to make credit available to MSMEs pan-India using technology and alternate data-first approaches. The company has built a proprietary platform to solve for the basic building blocks of MSME financing like distribution, origination, underwriting, engagement, and collections, and by democratizing access to this platform by providing open access to APIs across the funnel.

Since its inception, Lendingkart Group has evaluated over 1.6 million applications, disbursing over 2,28,000 loans of over 14,000 crores to more than 1,60,000 MSMEs in 4000+ cities and towns across all states and union territories of India, reaching over 11,700 pin codes and making it an NBFC having the largest geographical footprint in the country. To date, Lendingkart has disbursed over a billion USD worth of loans.