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8	8	* The company is  a well-diversified financial services firm offering a range of financial products and services.
9	9	* Motilal Oswal Wins “Best PMS in 10 years performance” across all categories at India’s Smart Money Manager Awards - 2021.
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11	11	= Company Overview =
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23	23	Research is the solid foundation on which MOFSL advice is based. Almost 10% of revenue is invested in equity research and the company hire and train the best resources to become its advisors. At present MOFSL has 25+ research analysts’ researching over 250 companies across 20 sectors. From a fundamental, technical and derivatives research perspective, Motilal Oswal’s research reports have received wide coverage in the media.
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	30	+== Services offered ==
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	32	+* Financial Services
	33	+* Broking & Distribution
	34	+* Asset Management
	35	+* Private Wealth Management
	36	+* Home Finance
	37	+* Institutional Equities
	38	+* Private Equity
	39	+* Investment Banking
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26	26	= Industry Overview =
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71	71	As per ICRA’s report, the total outstanding housing credit as on December 2019 stood at Rs 20.7 lakh crores. Out of the total outstanding credit, Housing Finance Companies (HFCs) and Non-Banking Financial Corporations (NBFCs) contributed around Rs 7 lakh crores. The share of HFCs in the credit portfolio remained consistent at 34% even after slower growth in disbursements. The dip in growth was due to lower disbursements because of continued funding constraints for the sector. Also, the HFCs resorted to higher activity in securitization of assets/portfolio sale outs to maintain the liquidity balance. The stagnant growth in HFCs was opportune by banks which led to overall market growth of ~~13% till December 2019. The share of CP borrowings remained at 5% of the overall borrowings of HFCs as on December 2019. The CP borrowings have largely been refinanced by bank borrowings, the share of which increased to 26% as on December 2019 from 24% as on March 31, 2019, and by securitization, the share of which increased to 14% of the overall borrowing mix from 12% during the same period. The Covid-19 induced slowdown is likely to impact the performance of HFCs. Although various initiatives have been taken by the Government and the RBI to bolster the segment, the business growth and key performance parameters are expected to weaken over the next 1-2 quarters. As per ICRA, the housing credit growth is expected in the range of 7%-10% in FY2021. The growth is estimated to be slower in H1 FY2021 while recovery in H2 FY2021 would depend on the overall economic turnaround.
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75	75	= Business Overview =
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112	112	The company cater to pure-retail affordable housing space through Motilal Oswal Home Finance (previously known as Aspire Home Finance Corporation). During the year, the company concentrated its efforts in re-building its home finance business in terms of processes, system, manpower and structure to strengthen its business. As a result, the company followed a conservative approach in its disbursements which stood at Rs 192 crores in FY2020. The loan book stood at Rs 3,667 crores across 47,900+ families as of Mar 2020. The company's average ticket-size at sourcing stood at Rs 8.8 lakhs in FY2020. MOFSL has put in place a vertical organization structure comprising sales, credit, collection and technical team. The implementation of cluster level credit layer along with 4 layer credit approval system based on loan ticket sizes and differentiated pricing methodology for loans based on risk type should likely result in improve underwriting, going forward. MOHFL has sold NPA book of Rs 424 cr at ~~50% haircut this has resulted in multiple benefits including lower NPAs. MOFSL has received credit rating upgrade from CRISIL to AA-/Stable from earlier A+/Stable. This rating upgrade was on account of corrective measures taken with visible positive developments on new management team, strengthening collections and recovery teams, enhanced credit appraisal and risk monitoring and strong capital position. This also represents the conviction MOFSL has over its efforts to revive this business. The company's gearing declined to 3.4x as of Mar 2020. The company's liability profile remains diversified with ~~51% of the borrowings from the capital markets in the form of NCDs and ~~49% from banks. MOHFL had credit lines from 22 banks as of Mar 2020. MOFSL has limited borrowing repayments for next 1 year, strong undrawn borrowing lines and ALM places it in comfortable liquidity situation.
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115	115	= Financial Highlights =
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