Climate Change Data

Environmental Metrics

Governance Achievements

• Appointed Ms. Khushboo Vasudev as Whole-time Company Secretary and Compliance Officer.
• Reappointed Mr. Manoj Kumar More and Mr. Sunilkumar Saini as Independent Directors.
• Established a vigil mechanism policy.
• Adopted a Nomination & Remuneration Policy compliant with Section 178(3) of the Companies Act, 2013.

Climate Goals & Targets

Environmental Challenges

• Trading in the company's shares on BSE is suspended due to non-compliance.

Mitigation Strategies

• The company is carrying out the process of revocation of suspension in trading of securities.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Social Achievements

• Your Company continuously invests in attraction, retention and development of talent on an ongoing basis. A number of programs that provide focused people attention are currently underway. Your Company thrust is on the promotion of talent internally through job rotation and job enlargement.

Governance Achievements

• The Board of Directors has carried out an annual evaluation of its own performance, Board committees and individual directors pursuant to the provisions of the Act and the corporate governance requirements as prescribed by Securities and Exchange Board of India under Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Climate Goals & Targets

Environmental Challenges

• The Covid-19 pandemic has exacerbated the woes of non-banking financial companies (NBFCs). The decline in non-bank credit growth, which started in the second half of fiscal 2019, continued through fiscal 2020, accentuated first by economic slowdown and then more vigorously - by the pandemic.
• Economic downturn due to covid-19 pandemic is the risk which every industry is facing and the government is trying, through its all measures like economic package and other policy assistance, to revive the economy as earliest as it can.

Mitigation Strategies

• The Reserve Bank of India (RBI) has allowed lenders to extend moratorium on loans up to August 31, temporarily mitigating the hardship of borrowers.
• The Government should continue its initiative of Ease of Doing Business.
• During the year your Company under its well planned and defined risk management policy gave attention to all the risk areas. The Board of Directors is apprised of the development in risk management in periodical meetings where the quarterly results are approved.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Social Achievements

• Your Company treats its “human resources” as one of its most important assets. Your Company continuously invests in attraction, retention and development of talent on an ongoing basis. A number of programs that provide focused people attention are currently underway. Your Company thrust is on the promotion of talent internally through job rotation and job enlargement.

Governance Achievements

• The Company has established a mechanism / whistle blower policy for employees to report concerns about unethical behavior, actual or suspected fraud, or violation of code of conduct or ethics policy.

Climate Goals & Targets

Environmental Challenges

• Economic downturn due to covid-19 pandemic
• forex volatility

Mitigation Strategies

• During the year your Company under its well planned and defined risk management policy gave attention to all the risk areas. The Board of Directors is apprised of the development in risk management in periodical meetings where the quarterly results are approved.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Social Achievements

• Embarked on a journey of “Happiness at the workplace” which has helped to look at employee engagement in a more holistic way.

Climate Goals & Targets

Environmental Challenges

• Pandemic induced disruptions continued in FY2022. The first half of FY2022 witnessed a significant impact of the deadly second (Delta) wave of the pandemic - impacting performance of both business and debt management services. The third wave (Omicron) strain was more transmissible due which it has a greater impact on KFSL’s operation.
• Suspension of trading in the shares of the Company on BSE Portal w.e.f. 21.12.2015 due to certain noncompliance.

Mitigation Strategies

• The Company remains confident of a sound growth trajectory in FY2023 and thereafter.
• The process of revocation of suspension in trading of securities of the company is being carried out by the Company.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Economic downturn due to covid-19 pandemic
• Recent revision of securitisation norms by RBI (loans with residual maturity of less than 365 days cannot be securitised)
• Rising interest rates and intense competition from banks

Mitigation Strategies

• Cautious funding strategy with positive cash balance
• Focus on higher-yield segments for growth
• Strong business models, capital adequacy, underwriting capabilities and digital strategy

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Regulatory changes
• Competition from banks
• Asset quality and credit risk
• Cybersecurity risks

Mitigation Strategies

• Continuous monitoring of creditworthiness of customers
• Establishing allowance for doubtful debts and impairment
• Cautious funding strategy
• Regular monitoring of rolling forecasts
• Rapid review of likely risk areas
• Defining a framework for identification, evaluating and mitigating risk

Supply Chain Management

Climate-Related Risks & Opportunities