Ranjit Securities Limited (**RSL**) is an Indore-based **Non-Banking Financial Company (NBFC)** established in **1994**. Registered under **Section 45 IA of the RBI Act, 1934** (Registration No. **0300012**), the company is classified as a **Non-Systemically Important, Non-Deposit Taking NBFC** operating as a **Loan and Investment Company**. The company is currently navigating a complex phase of regulatory remediation while maintaining a stable retail credit operation in the Indian domestic market. --- ### Core Financial Performance & Capital Structure RSL maintains a conservative balance sheet with a focus on capital preservation. While the company saw a dip in profitability in **FY 2023-24**, recent quarterly data suggests a recovery in turnover and net margins. **Key Financial Metrics** | Metric | FY 2024-25 (Est./Interim) | FY 2023-24 (Audited) | FY 2022-23 (Audited) | | :--- | :--- | :--- | :--- | | **Total Income / Turnover** | **₹89.81 lacs** | **₹1.01 Crore** | **₹1.15 Crore** | | **Profit Before Tax (PBT)** | — | **₹18.68 Lakh** | **₹21.29 Lakh** | | **Profit After Tax (PAT)** | **₹51.74 lacs** | **₹6.69 Lakh** | **₹18.99 Lakh** | | **Total Assets** | **₹710.57 lacs** | — | — | | **Cash & Cash Equivalents** | **₹24.69 Lakh** | **₹55.26 Lakh** | **₹22.34 Lakh** | **Equity and Shareholding Profile** * **Paid-up Equity Share Capital:** **₹2.69 Crore**, consisting of **26,87,400 equity shares** at a face value of **₹10 each**. * **Promoter Holding:** **42.56%** (held by **9 promoters**). * **Pledge Status:** **0%**; management confirms no shares are pledged with any financial institution. * **Dematerialization:** While the majority of shares are electronic, **0.66%** remain in physical form despite company advisories. --- ### Specialized Lending and Investment Framework The company operates through a single segment—**Finance Services**—utilizing a "unique business model" designed to minimize operating costs and credit risk. * **Retail Credit Focus:** RSL provides loans and advances to retail customers, adhering to **RBI prudential norms** for income recognition and asset classification. * **Strategic Investment Portfolio:** The company invests in selected entities where stock market liquidity may be low, but the capital is deemed "almost risk-free" from broader market volatility. * **Asset Quality Management:** * **NPA Policy:** Accounts overdue for more than **90 days** are classified as Non-Performing Assets (NPAs). * **Provisioning:** As of March 31, 2025, the company maintained a provision for **Bad & Doubtful Debts** of **₹81.27 Lakh** (up from **₹77.44 Lakh** the previous year). * **Impairment:** An impairment loss allowance of **₹50.93 Lakh** is recorded to mitigate credit risks. * **Infrastructure Diversification:** Beyond traditional lending, RSL is involved in a significant **Smart Meter Project** in Madhya Pradesh, overseeing the deployment of **8.15 Lakh meters** across the West Zone (including **3.64 Lakh in Indore** and **81,000 in Ujjain**). --- ### Leadership Stability and Governance Strategy RSL has prioritized leadership continuity to navigate its current regulatory challenges. The board consists of **6 directors** (4 Independent, 2 Executive). **Key Management Appointments** | Role | Appointee | Tenure | Period | | :--- | :--- | :--- | :--- | | **Chairman & Managing Director** | **Mr. Harman Singh Hora** | **5 Years** | April 1, 2026 – March 31, 2031 | | **Independent Director** | **Mohammad Akhtar** | **5 Years** | April 1, 2026 – March 31, 2031 | **Governance Oversight** * **Committee Structure:** Active oversight via the **Audit Committee**, **Stakeholders' Relationship Committee**, and **Nomination and Remuneration Committee**. * **Compliance Personnel:** A dedicated **Company Secretary and Compliance Officer** is appointed under **Regulation 6(1)** of SEBI regulations. * **Accountability:** Directors are liable to **retire by rotation**, ensuring periodic performance reviews by shareholders. --- ### Critical Risk Factors and Regulatory Status Investors should note that RSL is currently managing several long-standing legal and listing hurdles. **1. Listing and Liquidity Risks** * **BSE Suspension:** Trading has been suspended on the **BSE** since **December 2004**. An application for the **Revocation of Suspension** is currently pending. * **Regional Delisting:** The company was automatically delisted from the **Madhya Pradesh** and **Ahmedabad** Stock Exchanges following SEBI exit orders. **2. Legal and Statutory Challenges** * **Criminal Litigation:** A case filed by the **ROC, Madhya Pradesh**, is pending before the **CJM Gwalior** under various sections of the **Companies Act, 1956**. This matter has been active for over **10 years**. * **Auditor Resignation:** The statutory auditor, **M/s Jain Doshi and Company**, resigned in **January 2026** due to personal reasons, requiring the board to fill a casual vacancy. * **Audit Opinion:** For **11 consecutive years**, auditors have issued an **"Emphasis of Matter"** regarding the company's legal and listing status. **3. Operational Risks** * **Recovery Delays:** Loans totaling **₹26.81 Lakh** are currently under litigation in District Court. * **Taxation:** As of September 2025, **Advance Income Tax** dues were overdue by more than **6 months**. * **Market Competition:** RSL faces intense pressure from larger NBFCs and fintech players, alongside **interest rate volatility** that may compress margins. --- ### Strategic Outlook and Growth Catalysts Despite regulatory headwinds, RSL is positioned to benefit from the broader expansion of the Indian financial sector. * **Sector Growth:** The company aims to capture a share of the projected **12-14% growth** in the NBFC-Retail AUM sector for FY 2024-25. * **Digital Integration:** The use of the **Urjas App** for real-time data monitoring in its utility projects reflects a shift toward digital efficiency. * **Capital Deployment:** Management is focused on realizing older investments and loans to free up capital for new, higher-yield opportunities. * **Market Opportunity:** Rising domestic credit demand and the expansion of digital payment ecosystems provide a favorable backdrop for RSL’s retail-centric lending model.