Repco Home Finance Ltd

I deem it a great privilege to preside over the Sixteenth Annual General Meeting of Repco Home Finance Limited for the financial year 2015-16.

Economic strength of India improved with FY16 GDP showing a growth at the rate of 7.6%- enabling the country to maintain the tag of the fastest growing major economy , even as the global economy at large was facing headwinds. The housing finance industry continued its relentless growth trajectory with various estimates pegging the FY16 growth rate between 18% and 20%. Despite having grown at a similar CAGR (Compounded Annual Growth Rate) for the past 10 years, mortgages as a percentage of GDP continues to remain in single digits.

The Housing Finance Industry gets a considerable impetus from Government’s Jan Dhan Yojna, the

Interest subvention scheme for the economically weaker sections (EWS) and low-income group (LIG), an additional tax benefit of Rs. 50,000 for buying a house worth upto Rs. 50 lakh and taking a housing loan upto Rs. 35 lakh, the Government ‘s launch of the Housing for All by 2022 and Atal Mission for Rejuvenation and Urban Transformation (AMRUT) would also give a fillip to the housing sector.

Your Company is well poised to take advantage of the opportunity presented by the current economic environment and will pursue its corporate objectives to endeavour that the growth trajectory traversed thus far is sustained. The Company has its presence in 121 Branches and 30 SAT (satellite) centres in the states of

Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Kerala, Maharashtra, Odisha, West Bengal, Gujarat, Madhya Pradesh, Jharkhand and the Union Territory of Puducherry. The Company has also diversified its sources of fund raising through Non Convertible

Debentures and Commercial Papers. During the year loan approvals stood at Rs.3,082.76 crore as compared to Rs.2,398.88 crore in the previous year registering a growth of 28.51%. The Company disbursed loans to the extent of Rs. 2,851.20 crore as against Rs.2,181.15 crore in the previous year, a growth of 30.72%. The loan book of the Company at the end of financial year 2015-16 was Rs.7,691.19 crore as against Rs.6,012.92 crore in the previous year representing a growth of 27.91%. The Non performing assets stood at 1.31% (previous year 1.32%) of the total loans outstanding. The Profit after tax had grown by 21% from Rs.123.08 crore to Rs. 150.08 crores. The Capital adequacy ratio of the Company was comfortable at 20.77% against the statutory prescription of 12%.

ACKNOWLEDGEMENTS

I would like to avail this opportunity to express our sincere appreciation and gratitude to the shareholders of the organization, our customers, Ministry of Home Affairs, Registrar of Companies, Securities and Exchange Board of India, National Stock Exchange, Bombay Stock Exchange and Repco Bank for their unrelenting support. I acknowledge the support rendered by the Board and the excellence of dedicated employees of the company. I place on record our thanks to the National Housing Bank for regulatory, promotional and financial support and our bankers for their continued financial assistance.

We have benefitted immensely from your constant support and sincerely hope to continue to receive the same in future.