Franklin Leasing & Finance Limited is a Delhi-based **Non-Banking Financial Company (NBFC)** registered with the **Reserve Bank of India (RBI)** under Registration No. **B-14.02383** (dated May 22, 2001). Classified as a **Non-Deposit taking Non-Systemically Important NBFC (NBFC-ND-NSI)**, the company is currently undergoing a strategic transition from a modest operating scale to a more robust, system-driven financial services provider. --- ### **Core Business Operations & Revenue Streams** The company operates through a single reporting segment focused on financial services, utilizing a business model that emphasizes risk-sharing through strategic alliances and a diversified lending portfolio. * **Credit Delivery & Lending:** Providing short-term and long-term loans and advances to a diverse client base, including corporate entities, firms, LLPs, and High Net Worth Individuals (HNIs). * **Investment & Trading:** Engaging in the active trading of securities to optimize the company’s fund-based portfolio and maximize risk-adjusted returns. * **Financial Advisory:** Offering management consultancy and value-added advisory services to complement its core lending activities. * **Strategic Alliances:** Partnering with firms possessing complementary resources to mitigate standalone credit risk and enhance market reach. --- ### **Product Portfolio & Market Expansion** Franklin Leasing is diversifying its product suite to move from purely unsecured lending toward a balanced mix of secured asset classes. | Product Category | Description | Target Segment | | :--- | :--- | :--- | | **Inter-Corporate Deposits (ICD)** | Short-to-medium term funding for corporate entities. | Established Corporate Base | | **Personal Loans** | Credit facilities for individuals with proven repayment history. | HNIs with **impeccable credit** | | **Loan Against Property (LAP)** | **Planned expansion** into secured lending backed by real estate. | Diversified Borrowers | | **IPO Funding** | **Proposed financing** for primary market equity subscriptions. | Market Investors | | **Credit Facilities** | General loans and advances tailored to risk profiles. | Firms & LLPs | --- ### **Strategic Growth & Geographic Footprint** Since mid-**2022-23**, the company has implemented a "System Improvement" phase to enhance asset utilization and financial discipline. * **Geographic Diversification:** While historically focused on the **North Indian region**, the company is expanding into major Indian financial hubs. It has established a full-time office in **Kolkata** and identified **Delhi, Ahmedabad, and Chennai** as priority locations for future expansion. * **Operational Optimization:** Following historical volatility in securities trading, the company has overhauled its **internal investment processes** and **allocation strategies** to improve performance in the stock market. * **Relationship-Based Lending:** Leveraging a long-standing database of clients and established relationships with **Capital Market Players** to drive deal flow. * **Banking Infrastructure:** Operations are supported by tier-1 financial institutions, including **Kotak Mahindra Bank**, **Bank of Baroda**, and **IndusInd Bank**. --- ### **Financial Performance & Capital Structure** The company maintains a stable capital base with a focus on incremental profitability and stringent tax compliance. **Key Financial Metrics** | Metric (INR) | FY 2024-25 | FY 2023-24 | FY 2022-23 | | :--- | :--- | :--- | :--- | | **Total Income** | - | **11.24 Crore** | **11.77 Crore** | | **Net Profit** | **20.78 Lakhs** | **18.79 Lakhs** | **15.37 Lakhs** | | **Basic EPS** | **1.32** | **1.19** | - | | **Current Tax Expense** | **7.30 Lakhs** | **6.60 Lakhs** | - | **Equity Position (as of March 31, 2025)** * **Authorised Share Capital:** **Rs. 16,00,00,000** (1.60 Crore shares at **Rs. 10** each). * **Paid-up Equity Capital:** **Rs. 15,78,24,000** (1.57 Crore shares at **Rs. 10** each). * **Listing:** Publicly traded on the **BSE (Bombay Stock Exchange)**. --- ### **Ownership & Governance Framework** The company has seen significant leadership transitions to align with its growth objectives. **Mrs. Sujata Das** was appointed as **Managing Director** in **March 2025** for a **5-year term**, succeeding **Mr. Mahesh Kumar Dalmia**. **Major Shareholding Pattern (Above 5%)** | Shareholder | % Holding (March 2025) | % Holding (March 2024) | | :--- | :--- | :--- | | **Confident Financial Advisory Pvt Ltd** | **26.47%** | **26.47%** | | **Kaksh Impex Pvt Ltd** | **14.14%** | **14.14%** | | **Surakshit Merchant Pvt Ltd** | **13.73%** | **13.73%** | | **ARC Finance Limited** | **6.52%** | **0.00%** | | **Veenit Builders Pvt Ltd** | **0.00%** | **5.43%** | --- ### **Risk Management & Oversight** The company operates under a formal **Lending Policy Framework** and a multi-tiered committee structure to manage exposure to interest rate volatility and credit defaults. **Governance Committees** * **Risk Management Committee (RMC):** Meets **quarterly** to evaluate risk thresholds and review the quality of the asset book. * **Asset Liability Committee (ALCO):** Meets **monthly** to manage liquidity gaps and interest rate risks. * **Audit & Nomination Committees:** Ensure regulatory compliance and leadership stability. **Risk Mitigation Strategies** * **Credit Risk:** Monitored via **EMI default rates** and **collection efficiency**. Currently, **no amounts are overdue for more than 90 days**. * **Liquidity Risk:** Managed through the identification of gaps in **structural and dynamic liquidity statements**. * **Market Risk:** Use of **derivative financial instruments** to hedge against fair value fluctuations. * **Concentration Risk:** Actively diversifying the client database to reduce **per-account risk** and exposure to specific sectors. --- ### **Future Outlook & Challenges** While the company is positioned for growth through geographic expansion and product diversification (specifically **LAP** and **IPO funding**), its performance remains sensitive to: 1. **Macroeconomic Conditions:** Growth is tied to the broader **Indian economy** and consumer sentiment. 2. **Regulatory Shifts:** Changes in **RBI policies** for **NBFC-ND-NSI** entities could impact operational costs. 3. **Competitive Landscape:** Increasing competition from both traditional banks and fintech lenders in the North Indian and Kolkata markets.