Finance - Others · Founded 1977 · www.centrum.co.in · BSE 501150 · NSE CENTRUM CAP · ISIN INE660C01027
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Business
Centrum Capital Ltd. is an integrated financial services group based in India. Its core business model revolves around providing a comprehensive suite of financial products and services to institutional clients, high net worth individuals (HNIs), ultra-HNIs, corporates, and retail customers. The company primarily makes money through a combination of advisory fees from investment banking and wealth management services, interest income from its lending businesses (housing finance and microfinance), brokerage commissions from capital markets activities, and asset management fees. It operates across various verticals including investment banking, wealth management, institutional equities, distressed asset management, housing finance, and microfinance.
Revenue Mix
Centrum Capital Ltd. operates through several key segments, reflecting its diversified financial services platform. While specific revenue contributions can vary year-to-year and are not readily available without recent financial reports, its major segments typically include:
Investment Banking: Mergers & Acquisitions (M&A) advisory, private equity placements, public market fundraising (IPOs, QIPs), debt syndication.
Wealth Management: Financial advisory, portfolio management, estate planning, and wealth solutions for HNIs and ultra-HNIs.
Lending: This includes its subsidiary Centrum Housing Finance Ltd. (affordable housing loans) and Centrum Microcredit Ltd. (microfinance loans to underserved populations).
Institutional Equities: Broking and research services for institutional investors.
Distressed Asset Management: Through its Alternative Investment Funds (AIFs) focusing on stressed assets.
Asset Management: Offering various investment products.
Industry
Centrum Capital operates in the highly competitive and regulated Indian financial services sector, which is characterized by the presence of large public and private sector banks, non-banking financial companies (NBFCs), asset management companies, and smaller boutique firms. The industry benefits from India's growing economy, rising disposable incomes, and increasing financialization. Centrum positions itself as an integrated financial services platform, aiming to cater to a broad spectrum of clients. It competes with larger diversified financial conglomerates (e.g., Edelweiss, IIFL) as well as specialized players in each of its verticals. Its strength lies in its diversified offerings and ability to cross-sell products and services across segments, rather than dominating any single market.
MOAT
Centrum Capital's competitive advantages are primarily built around:
Diversified Platform: Its ability to offer a wide range of financial services across investment banking, wealth, lending, and capital markets provides a more stable revenue stream and allows for cross-selling opportunities.
Client Relationships: Established relationships with corporates, institutional investors, and high-net-worth individuals cultivated over years.
Niche Expertise: Specific focus areas like affordable housing finance and microfinance, along with distressed asset management, cater to growing, yet sometimes underserved, market segments.
Regulatory Licenses: Holding the necessary licenses to operate across various financial services verticals in India.
However, the Indian financial services market is highly competitive, and strong brand recall or significant scale advantage across all segments might be challenging when competing with larger, incumbent banks and financial institutions.
Growth Drivers
Indian Economic Growth: A growing economy leads to increased corporate activity (M&A, fundraising) and wealth creation, benefiting investment banking and wealth management segments.
Financialization of Savings: India's shift from physical assets to financial assets drives demand for wealth management, broking, and asset management services.
Under-penetration of Credit: Significant demand for credit in affordable housing and microfinance segments, especially in semi-urban and rural areas.
Government Initiatives: Policy support for housing for all and financial inclusion provides tailwinds for its lending businesses.
Distressed Asset Opportunities: The ongoing resolution of non-performing assets (NPAs) in the banking system creates opportunities for its distressed asset management vertical.
Risks
Credit Risk: For its lending businesses (housing finance and microfinance), the risk of loan defaults, especially in economic downturns or due to adverse events, poses a significant threat to asset quality and profitability.
Interest Rate Risk: Fluctuations in interest rates can impact net interest margins for its lending segments and the valuation of fixed-income portfolios.
Market Risk: Volatility in capital markets can affect investment banking deal flow, wealth management asset valuations, and broking volumes/revenues.
Regulatory Risk: The financial sector is heavily regulated; changes in regulations (e.g., capital adequacy norms, lending guidelines, fee structures) can impact business operations and profitability.
Competition: Intense competition from larger banks, NBFCs, and fintech companies in all its segments can pressure margins and market share.
Economic Slowdown: A general economic slowdown can reduce corporate activity, impact client wealth, and increase loan defaults.
Management & Ownership
Centrum Capital Ltd. is promoted by individuals with significant experience in the financial services sector, notably Jaspal Bindra and Chandir Gidwani. Jaspal Bindra, as the Executive Chairman, brings a strong background from his tenure at Standard Chartered Bank. The management team generally comprises seasoned professionals across its various business verticals. The company is promoter-led, with the promoter group holding a significant stake, aligning management interests with shareholder value creation, subject to corporate governance standards.
Outlook
Centrum Capital is well-positioned to capitalize on India's long-term growth story, driven by the expansion of its financial markets, increasing wealth, and continued demand for credit in underserved segments. Its diversified business model offers resilience against volatility in any single segment. The focus on high-growth areas like affordable housing, microfinance, and distressed asset management provides specific avenues for expansion. However, the outlook is tempered by the inherent risks of the financial sector, including intense competition, potential credit quality challenges in its lending portfolios, and the sensitivity of its capital markets businesses to economic cycles and regulatory changes. Success will depend on prudent risk management, effective capital allocation, and continued innovation to maintain competitiveness in a dynamic market.
| #(Fig in Cr.) | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Revenue | 655 | 716 | 784 | 877 | 1116 | 846 | 823 | 878 | 1030 | 912 |
| Other Income | 3 | 9 | 84 | 17 | 58 | 195 | 276 | 60 | 19 | 30 |
| Total Income | 658 | 725 | 868 | 895 | 1174 | 1041 | 1098 | 939 | 1049 | 942 |
| Total Expenditure | 314 | 483 | 467 | 552 | 673 | 641 | 647 | 626 | 751 | 670 |
| Operating Profit | 344 | 242 | 401 | 343 | 501 | 400 | 451 | 313 | 297 | 271 |
| Interest Expense | 299 | 344 | 363 | 417 | 440 | 450 | 459 | 439 | 419 | 387 |
| Depreciation | 23 | 23 | 23 | 27 | 38 | 31 | 24 | 32 | 61 | 38 |
| Profit Before Tax | 22 | -125 | 15 | -101 | 23 | -81 | -32 | -164 | 23 | -153 |
| Provision for Tax | -17 | -3 | 7 | -42 | -2 | 26 | -23 | -29 | 54 | -4 |
| Profit After Tax | 39 | -122 | 8 | -59 | 24 | -107 | -9 | -135 | -31 | -149 |
| Adjustments | -38 | 31 | -31 | 6 | -45 | 93 | -32 | 37 | 45 | 56 |
| Profit After Adjustments | 2 | -91 | -24 | -52 | -21 | -14 | -41 | -97 | 14 | -92 |
| Adjusted Earnings Per Share | 0 | -2.2 | -0.6 | -1.3 | -0.5 | -0.3 | -0.9 | -2.1 | 0.3 | -1.9 |
| #(Fig in Cr.) | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Revenue | 3995 | 6863 | 9884 | 370 | 473 | 500 | 695 | 1310 | 2207 | 3493 | 3763 | 3643 |
| Other Income | 12 | 132 | 24 | 12 | 23 | 15 | 28 | 55 | 3369 | 168 | 428 | 385 |
| Total Income | 4007 | 6995 | 9908 | 381 | 495 | 515 | 723 | 1365 | 5576 | 3661 | 4191 | 4028 |
| Total Expenditure | 3931 | 6853 | 9746 | 469 | 332 | 290 | 555 | 870 | 4592 | 2175 | 2731 | 2694 |
| Operating Profit | 76 | 142 | 162 | -87 | 164 | 226 | 167 | 496 | 984 | 1486 | 1460 | 1332 |
| Interest Expense | 28 | 60 | 96 | 155 | 199 | 238 | 330 | 636 | 1022 | 1564 | 1767 | 1704 |
| Depreciation | 5 | 7 | 8 | 20 | 20 | 19 | 21 | 38 | 71 | 111 | 148 | 155 |
| Profit Before Tax | 49 | 76 | 80 | 244 | 13 | -32 | -184 | -179 | -107 | -188 | -253 | -326 |
| Provision for Tax | 18 | 30 | 38 | 100 | 12 | 10 | 6 | 4 | -36 | -40 | 28 | -2 |
| Profit After Tax | 31 | 46 | 42 | 144 | 1 | -42 | -190 | -183 | -71 | -149 | -281 | -324 |
| Adjustments | -5 | -16 | -10 | -28 | 14 | -5 | 13 | 33 | -28 | -39 | 143 | 106 |
| Profit After Adjustments | 26 | 30 | 32 | 116 | 14 | -47 | -177 | -150 | -99 | -187 | -138 | -216 |
| Adjusted Earnings Per Share | 0.6 | 0.7 | 0.8 | 2.8 | 0.3 | -1.1 | -4.2 | -3.6 | -2.4 | -4.5 | -2.8 | -4.6 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | 8% | 42% | 50% | -1% |
| Operating Profit CAGR | -2% | 43% | 45% | 34% |
| PAT CAGR | 0% | 0% | 0% | NAN% |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Share Price CAGR | -46% | -6% | -15% | -5% |
| ROE Average | -123% | -62% | -49% | -17% |
| ROCE Average | 9% | 10% | 8% | 12% |
| #(Fig in Cr.) | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Shareholder's Funds | 319 | 316 | 369 | 599 | 622 | 580 | 675 | 593 | 441 | 279 | 312 |
| Minority's Interest | 99 | 165 | 150 | 58 | 195 | 197 | 1315 | 1283 | 1302 | 1346 | 1006 |
| Borrowings | 106 | 189 | 537 | 1658 | 1605 | 1815 | 6016 | 4483 | 5790 | 7960 | 6164 |
| Current Liability | 434 | 439 | 818 | 623 | 472 | 547 | 4454 | 5261 | 6016 | 9657 | 11200 |
| Other Liabilities & Provisions | 15 | 118 | 303 | -32 | 186 | 178 | -542 | -592 | 3085 | 2527 | 1967 |
| Total Liabilities | 973 | 1227 | 2177 | 2906 | 3080 | 3316 | 11917 | 11028 | 16634 | 21769 | 20649 |
| Loans | 0 | 5 | 211 | 1948 | 1965 | 2159 | 3562 | 6718 | 10755 | 6936 | 8537 |
| Investments | 31 | 31 | 103 | 141 | 78 | 62 | 2825 | 2490 | 3850 | 3012 | 3584 |
| Fixed Assets | 85 | 110 | 149 | 141 | 153 | 169 | 405 | 510 | 663 | 955 | 988 |
| Other Loans | 111 | 250 | 371 | 57 | 329 | 276 | 320 | 209 | 108 | 67 | 123 |
| Other Non Current Assets | 0 | 0 | 5 | 10 | 14 | 2 | 13 | 14 | 431 | 207 | 257 |
| Current Assets | 747 | 831 | 1338 | 610 | 541 | 647 | 4788 | 1077 | 816 | 10587 | 7159 |
| Total Assets | 973 | 1227 | 2177 | 2906 | 3080 | 3316 | 11917 | 11028 | 16634 | 21769 | 20649 |
| #(Fig in Cr.) | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Opening Cash & Cash Equivalents | 148 | 126 | 173 | 233 | 151 | 169 | 209 | 4435 | 599 | 670 | 908 |
| Cash Flow from Operating Activities | -207 | -55 | -780 | -1377 | -178 | -40 | 3331 | -4091 | 120 | 2532 | -1814 |
| Cash Flow from Investing Activities | -98 | 16 | -60 | 782 | 133 | -56 | -286 | 142 | -1550 | -1704 | 1459 |
| Cash Flow from Financing Activities | 282 | 86 | 881 | 503 | 63 | 137 | 737 | 97 | 1503 | -590 | 436 |
| Net Cash Inflow / Outflow | -23 | 47 | 41 | -92 | 18 | 40 | 3782 | -3851 | 73 | 238 | 80 |
| Closing Cash & Cash Equivalent | 125 | 173 | 214 | 151 | 169 | 209 | 4435 | 599 | 670 | 908 | 987 |
| # | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Per Share (Rs) | 0.63 | 0.72 | 0.77 | 2.79 | 0.35 | -1.13 | -4.25 | -3.6 | -2.39 | -4.51 | -2.84 |
| CEPS(Rs) | 0.86 | 1.26 | 1.2 | 3.93 | 0.5 | -0.54 | -4.05 | -3.49 | 0 | -0.9 | -2.74 |
| DPS(Rs) | 0 | 0.05 | 0.05 | 0.05 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Book NAV/Share(Rs) | 7.67 | 7.6 | 7.95 | 12.78 | 14.13 | 13.04 | 15.41 | 13.32 | 9.53 | 5.63 | 4.61 |
| Net Profit Margin | 0.78 | 0.67 | 0.42 | 38.91 | 0.15 | -8.36 | -27.35 | -13.96 | -3.23 | -4.25 | -7.48 |
| Operating Margin | 1.95 | 1.98 | 1.78 | 107.78 | 44.76 | 41.27 | 20.97 | 34.94 | 41.48 | 39.36 | 40.23 |
| PBT Margin | 1.24 | 1.11 | 0.81 | 65.99 | 2.68 | -6.4 | -26.54 | -13.64 | -4.84 | -5.4 | -6.73 |
| ROA(%) | 3.55 | 4.15 | 2.45 | 5.66 | 0.02 | -1.31 | -2.49 | -1.59 | -0.51 | -0.77 | -1.33 |
| ROE(%) | 10.42 | 14.38 | 12.87 | 33.38 | 0.13 | -7.4 | -32.1 | -30.61 | -14.98 | -47.11 | -122.64 |
| ROCE(%) | 13.1 | 19.93 | 15.87 | 20.4 | 8.9 | 8.5 | 3.15 | 7.32 | 10.79 | 9.9 | 9.28 |
| Price/Earnings(x) | 17.57 | 48.45 | 81.89 | 11.57 | 26.5 | 0 | 0 | 0 | 0 | 0 | 0 |
| Price/Book(x) | 1.44 | 4.6 | 7.89 | 2.53 | 0.65 | 2.16 | 1.68 | 1.42 | 2.99 | 4.16 | 5.98 |
| Dividend Yield(%) | 0 | 0.14 | 0.08 | 0.15 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EV/Net Sales(x) | 0.17 | 0.23 | 0.35 | 7.78 | 3.65 | 5.24 | 3.63 | 3.95 | 5.17 | 4.52 | 4.2 |
| EV/Core EBITDA(x) | 8.83 | 11.22 | 21.33 | -33.01 | 10.55 | 11.62 | 15.09 | 10.43 | 11.6 | 10.63 | 10.83 |
| Interest Earned Growth(%) | -10.6 | 71.8 | 44.01 | -96.26 | 27.75 | 5.84 | 38.85 | 88.62 | 68.45 | 58.3 | 7.72 |
| Net Profit Growth | -41.09 | 46.22 | -8.88 | 245.89 | -99.5 | -5941.65 | -354.31 | 3.69 | 61.09 | -108.72 | -89.35 |
| EPS Growth(%) | -42.65 | 14.73 | 6.14 | 264.7 | -87.57 | -424.45 | -277.09 | 15.25 | 33.67 | -88.71 | 36.99 |
| Interest Coverage(x) % | 2.74 | 2.27 | 1.83 | 2.58 | 1.06 | 0.87 | 0.44 | 0.72 | 0.9 | 0.88 | 0.86 |
| # | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 | Sep 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 38.49 | 38.49 | 38.49 | 38.49 | 38.49 | 34.84 | 34.84 | 39.44 | 39.44 | 39.44 |
| FII | 0.36 | 0.29 | 0.36 | 0.43 | 0.7 | 1.55 | 1.64 | 1.22 | 1.29 | 1.24 |
| DII | 0 | 0 | 0 | 0 | 0 | 3.86 | 3.86 | 3.64 | 1.93 | 1.64 |
| Public | 61.15 | 61.22 | 61.15 | 61.07 | 60.8 | 59.75 | 59.66 | 55.69 | 57.34 | 57.68 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 | Sep 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 16.01 | 16.01 | 16.01 | 16.01 | 16.01 | 16.01 | 16.01 | 19.2 | 19.2 | 19.2 |
| FII | 0.15 | 0.12 | 0.15 | 0.18 | 0.29 | 0.71 | 0.75 | 0.6 | 0.63 | 0.6 |
| DII | 0 | 0 | 0 | 0 | 0 | 1.77 | 1.77 | 1.77 | 0.94 | 0.8 |
| Public | 25.44 | 25.47 | 25.44 | 25.41 | 25.3 | 27.46 | 27.42 | 27.11 | 27.92 | 28.08 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 41.6 | 41.6 | 41.6 | 41.6 | 41.6 | 45.96 | 45.96 | 48.68 | 48.68 | 48.68 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | +8% | +42% | +50% | -1% |
| Operating Profit CAGR | -2% | +43% | +45% | +34% |
| PAT CAGR | — | — | — | 0% |
| Share Price CAGR | -46% | -6% | -15% | -5% |
| ROE Average | -123% | -62% | -49% | -17% |
| ROCE Average | +9% | +10% | +8% | +12% |
| # | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 | Sep 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 38.49 | 38.49 | 38.49 | 38.49 | 38.49 | 34.84 | 34.84 | 39.44 | 39.44 | 39.44 |
| FII | 0.36 | 0.29 | 0.36 | 0.43 | 0.7 | 1.55 | 1.64 | 1.22 | 1.29 | 1.24 |
| DII | 0 | 0 | 0 | 0 | 0 | 3.86 | 3.86 | 3.64 | 1.93 | 1.64 |
| Public | 61.15 | 61.22 | 61.15 | 61.07 | 60.8 | 59.75 | 59.66 | 55.69 | 57.34 | 57.68 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 | Sep 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 16.01 | 16.01 | 16.01 | 16.01 | 16.01 | 16.01 | 16.01 | 19.2 | 19.2 | 19.2 |
| FII | 0.15 | 0.12 | 0.15 | 0.18 | 0.29 | 0.71 | 0.75 | 0.6 | 0.63 | 0.6 |
| DII | 0 | 0 | 0 | 0 | 0 | 1.77 | 1.77 | 1.77 | 0.94 | 0.8 |
| Public | 25.44 | 25.47 | 25.44 | 25.41 | 25.3 | 27.46 | 27.42 | 27.11 | 27.92 | 28.08 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 41.6 | 41.6 | 41.6 | 41.6 | 41.6 | 45.96 | 45.96 | 48.68 | 48.68 | 48.68 |
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