• MSME lending portfolio: MAS Financial Services has focused on MSME debt financing for 30 years, with 75% of its ₹16,000 crore AUM dedicated to this core segment.
• Bond borrowing mix: Bond market issuances currently account for 15% to 17% of the company's total borrowings, with management aiming to increase this share to 20% to 25% for enhanced liability diversification.
• Bond market liquidity: Improved secondary market liquidity and investor appetite have extended typical bond tenures from under one year to up to three years, while also increasing capital access for lower-rated NBFCs.
• Key profitability drivers: Management evaluates business health through borrowing costs, operational costs, and credit costs, focusing on disciplined operational management and risk-adjusted pricing to preserve returns.
• Long-term growth outlook: Backed by India's 6% to 7% GDP growth rate and a persistent credit gap, management sees immense opportunities for responsible MSME credit expansion spanning the next one to two decades.