SG FINSERVE LIMITED

RBI-registered non-banking financial company focused on supply chain financing, with a loan book of INR4,552 crore as of Q1 FY27 (+82% YoY) that generates interest income as the primary revenue source. The bulk of the book is channel finance — lending to dealers and distributors against corporate anchors — with an anchor base of 52 mandates, and the APL Apollo Group ecosystem accounts for about one-third of AUM. In March–April 2026, factoring and TReDS (Trade Receivables Discounting System) products were commercialised, taking the factoring book to INR225 crore (~5% of total AUM); management notes the NBFC is among roughly 1% of Indian financial institutions offering these solutions. Portfolio yield is sustained at around 12.5%. Operating costs are minimal — opex runs about 1% of the average loan book and cost-to-income was 7% in Q1 FY27 against a sub-15% target — while finance costs (cost of borrowings) absorb the majority of gross interest income, with the spread between yield and cost of funds driving earnings. The book carries nil NPAs. The company is diversifying into adjacent areas — insurance broking, a Category III AIF, digital merchant lending via a BharatPe Money partnership, and a proposed GIFT City finance subsidiary — though these remain pre-revenue.