Looking for a stable investment opportunity that offers attractive returns with strong security? TruCredits’ latest Non-Convertible Debentures (NCDs) might be exactly what you’re looking for. Let’s break down why these NCDs are generating significant interest among smart investors.
What Makes TruCredits Special?
TruCredits isn’t just another financial services company. As a respected name in the sector, they’ve built a reputation for secure and transparent debt offerings. Their focus on investor satisfaction and risk mitigation has made them a trusted partner for those seeking to balance yield with security. Their impressive growth numbers and strong financial position demonstrate they’re doing something right!
Understanding the NCD Offering
Here’s what you get when you invest in TruCredits NCDs:
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- High-yield investment offering up to 15% annual returns
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- Flexible investment tenures to match your needs
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- Regular interest payouts for steady income
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- Enhanced security through robust collateral backing
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- Low minimum investment requirement for accessibility
Let’s Talk Numbers: Understanding TruCredits’ Finances
Company’s Financial Position
| Particulars | Unit | FY 23 | FY 24 |
| Financial Performance | |||
| Revenue | (₹ Cr.) | 432.6 | 673.2 |
| PAT | (₹ Cr.) | 58.8 | 105.5 |
| PAT Growth | (%) | 1629.41 | 79.42 |
| PAT Margin | (%) | 13.59 | 15.67 |
| Capital Position | |||
| Total Equity | (₹ Cr.) | 297.3 | 402.9 |
| Borrowings | (₹ Cr.) | 157.5 | 157.5 |
| Working Capital Position | |||
| Inventories | (₹ Cr.) | NA | NA |
| Trade Receivables | (₹ Cr.) | 11.2 | 17.1 |
| Other Liabilities and Provisions | (₹ Cr.) | 36.1 | 91.8 |
| Cash & Bank | (₹ Cr.) | 147.2 | 200.3 |
| Key Financial Ratio | |||
| Current Ratio | (Times) | 0.66 | 0.85 |
| ROTA | (%) | 4.33 | 6.59 |
NA indicates Not Available.
Strong Growth Trajectory
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- Impressive revenue of ₹673.2 crores in FY24
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- 55.6% growth from ₹432.66 crores in FY23
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- Shows robust business expansion and market acceptance
Solid Profit Performance
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- Outstanding PAT of ₹105.5 crores in FY24
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- Remarkable 79.42% growth from previous year
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- Healthy PAT margin of 15.67%
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- Demonstrates operational efficiency and profitability
Day-to-Day Business Health
Cash Position
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- Robust cash reserves of ₹200.3 crores
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- Up from ₹147.2 crores last year
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- Shows strong liquidity for operations and obligations
Business Operations
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- Trade Receivables: ₹17.1 crores
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- Well-managed increase from ₹11.2 crores last year
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- Indicates efficient collection systems
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- Trade Receivables: ₹17.1 crores
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- Other Liabilities and Provisions: ₹91.8 crores
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- Reflects growing business scale
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- Shows prudent risk management
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- Other Liabilities and Provisions: ₹91.8 crores
Financial Health Indicators
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- Total Equity: ₹402.9 crores (up from ₹297.3 crores)
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- Return on Total Assets (ROTA): 6.59%
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- Interest Coverage improving to 0.85 times
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- Shows strengthening financial position
Why These Numbers Make Sense
For a growing financial services company like TruCredits:
- The strong equity position shows financial stability and growth
- Increasing borrowings (₹421.3 crores) indicate planned expansion
- Growing cash reserves demonstrate robust liquidity management
- Impressive revenue and profit growth confirm business model effectiveness
Market Position and Growth
TruCredits’ position is strong because:
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- Proven track record in financial services
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- Strong year-on-year growth in revenue and profits
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- Robust risk management practices
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- Solid equity base of ₹402.9 crores
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- Growing market presence and reputation
Who Should Invest?
These NCDs are ideal for:
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- Income-seeking investors looking for high fixed returns
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- Risk-conscious investors seeking secured investments
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- Retirees wanting stable, regular income
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- Institutional investors seeking dependable returns
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- Portfolio diversification seekers
The Bottom Line
TruCredits’ NCDs offer a unique opportunity to earn attractive returns from a financially sound company. Unlike many growing companies, TruCredits shows:
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- Strong positive equity
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- Impressive profit growth
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- Robust cash reserves
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- Efficient operations
Their 15% NCD offering, backed by solid financials and strong risk management practices, presents an attractive investment opportunity for those seeking high yields with security.
The combination of:
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- Strong financial performance
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- Growing market presence
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- Robust risk management
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- High yields
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- Professional management
Makes this an investment opportunity worth serious consideration for informed investors seeking to enhance their fixed-income portfolio returns.
Explore our platform to know more about TruCredits NCD.
