R-finance LLP microfinance organization

1.

R-FINANCE LLP MICROFINANCE ORGANIZATION
(01.01.2024)

2.

AT A
GLANCE
R finance mission: To provide clients with affordable and convenient solutions for the financial needs of
individuals and for the development of micro, small and medium-sized businesses
Main Product
TOP 2
TOP12 by Assets
15 branches
Bond issuer
38.7Mn$
More than 30K
clients
Strategic investor LOLC
Holding PLC 50.01% ownership
NPL 90+ 2,2 %
170+ Employees
Since 2015
Vehicle pledge microloans
11 bond issues released to
this date
Average LTV 30%
Collateral is 3x of the total
loan portfolio
Vehicle pledge MFO in KZ
Current loan portfolio
2x lower than industry avg
among 230+ MFOs in KZ
57% woman & 43% man
Covering all major cities of Kazakhstan
8 years of successfully doing busines

3.

COVERAG
E
Headquarters located in
Astana
Petropavlosvk
Kostanay
Pavlodar
Astana
Oral
Semey Oskemen
Karagandy
Atyrau
Kyzylorda
Aktau
Taraz
Shymkent
Almaty
The branch network encompasses 15
locations strategically positioned in key cities
across Kazakhstan, representing all major
urban centers in the region.

4.

MILESTONE
S
Establishment of
business
R- finance registered
with Agency for
Regulation and
Development of
financial Markets
Indefinite
Microfinance license
issued by a regulator
May 2020
February 2015
March 2021
Fortune holdings a
Singapore based
LOLC subsidiary
acquired 50.01%
stake of the company
January 2023
October 2017
December 2020
January 2022
R-finance pivots to
vehicle pledge loans
product line
First Bond issues are
listed on Kazakhstan
stock exchange and
AIX
Successful financial &
legal Due Diligence by
KPMG

5.

ABOUT LOLC
GROUP

6.

R-FINANCE
ADVANTAGES
No Fees. R-finance does not charge
any fees for microloan application
or disbursement
Pledged vehicles are available for driving
Vehicle evaluation and microloan
disbursement under 1 hour 15
minutes
Maximum microloan size – 160k
$. Up to 5 years duration of the
loan.
Call center available 7 days a week
Differentiated, annuity and discrete
available monthly payment options

7.

LOAN APPLICATION
PROCESS
1
Step 1 – Online request
Leave a request at our website
and our call center manager
will call you in a few minutes
2
Step 2 – Meeting at the
office
Your vehicle will be evaluated
and our manager will help you
choose right loan condition and
fill out application all at same
place
3
Step 3 – loan distribution
Loan funds are available for
collection in cash form or as
card transfer in 1 hour!

8.

PRUDENTIAL
STANDARTS
R-Finance not only complies with but exceeds every prudential standard established by the
government
2020
Stated Capital
Сapital adequacy ratio
Maximum risk on single borrower
Leverage ratio
Maximum risk on single
2021
Regulation
norms
2023
1,09
1,09
3,02
0,3
0,2
0,3
1,2%
2,1%
1,5%
0,9% max 25%
95% lower than regulatory limit
2,5
5,2
2,0
2,2 max 10,0
78% lower than regulatory limits
Leverage ratio
borrower
2022
10
9,58 0,4Mn $
0,3
min 0,1
Capital adequacy ratio
0,3
22х higher than regulatory minimum
2х higher than regulatory minimum
Stated Capital
9,58
25%
0,1
2,2
0,9%
R finance
0,4
Regulatory Limit
R finance
Regulatory Limit
R finance
Regulatory Minimum
R finance
Regulatory Minimum

9.

MICROL OAN PORTFOL IO

10.

Microloan portfolio, Mn $
38,68
In 2023 R finance achieved 2.3X
increase in microloan portfolio size
16,59
2024 target microloan portfolio
11,52
is 102 Mn $
8,40
5,64
6,00
01.01.2019
01.01.2020
01.01.2021
01.01.2022
01.01.2023
01.01.2024

11.

Portfolio quality
19,6%
18,8%
18,5%
16,0%
14,3%
13,2%
11,7%
11,3%
11,4%
11,3%
10,9%
6,6%
4,7%
5,7%
5,5%
4,0%
3,6%
2,2%
2018
2019
2020
DPD 1+
2021
DPD 30+
NPL 90+
2022
2023

12.

PORTFOLIO
PURPOSE
Consumer
Small and Medium businesses
Business microloans by sector (01.01.2024)
1%
Other
18%
24%
Retail
28%
Accomidation
5%
48%
68%
Consulting
6%
99%
76%
Agriculture and fishing
8%
52%
32%
2020
2021
2022
2023
Construction
24%
Logistics
11%
Retail
Construction
Logistics
Agriculture and fishing
Consulting
Accomidation
Other

13.

FINANCIAL SOURCES

14.

PROFITABILITY
* The decline in return ratios (ROA & ROE) in 2023 is attributed to the simultaneous increase in assets and equity resulting from capitalization through LOIC. Although the
investments have expanded, the full returns have not materialized yet, primarily due to R Finance's cautious and low-risk approach to portfolio growth
33%
8%
27%
21%
Return on Equity
Return on Assets
Return on Sales
7%
24%
20%
17%
16%
5%
19%
4%
2020
2021
2022
2023
2020
2020
2021
2022
2021
2022
2023
2023
Revenue, Mn $
Net income Mn $
2,37
12,01
1,62
5,99
2,58
2020
3,62
2021
2022
2023
0,53
0,62
2020
2021
2022
2023

15.

LIABILITIES AND
EQUITY
Loans (liabilities), Mn $
Bonds issued (liabilities), Mn $
13,91
25,43
6,36
4,25
01.01.2021
4,10
01.01.2022
6,62
01.01.2023
01.01.2024
3,53
3,12
01.01.2021
01.01.2022
01.01.2023
01.01.2024
Debt to Equity ratio
Equity, Mn $
2,72
14,00
2,13
2,24
2020
2021
1,90
6,83
3,64
3,22
01.01.2021
01.01.2022
01.01.2023
01.01.2024
2022
2023

16.

BOND LISTINGS
MFRFb1
MFRFb3
MFRFb5
MFRFb7
MFRFb9
Volume: 4,2Mn $
Rate: 20%
Maturity:
Feb.2024
Tenure: 3 years
Currency: KZT
Stock Exchange:
KASE
Volume: 2,1Mn $
Rate: 25%
Maturity:
Jun.2025
Tenure: 3 years
Currency: KZT
Stock Exchange:
KASE
Volume: 2,1Mn $;
Rate: 20%;
Maturity: repaid
on Dec.2023
Tenure: 1 year
Currency: KZT
Stock Exchange:
KASE
Volume: 6,3Mn $
Rate: 25%
Maturity:
Jun.2025
Tenure: 2 years
Currency: KZT
Stock Exchange:
KASE
Volume: 6,3Mn $
Rate: 25%
Maturity:
Dec.2026
Tenure: 3 years
Currency: KZT
Stock Exchange:
KASE
RFIN.0825
Volume:10 Mn $
Rate: 7%
Maturity: repaid
on Sep.2023
Tenure: 5 years
Currency: USD
Stock Exchange:
AIX
MFRFb2
MFRFb4
MFRFb6
MFRFb8
MFRFb10
Volume: 2,1Mn $
Rate: 18%
Maturity: repaid
on
Dec.2023
Tenure: 3 years
Currency: KZT
Stock Exchange:
KASE
Volume: 4,2Mn $
Rate: 25%
Maturity:
Mar.2026
Tenure: 3 years
Currency: KZT
Stock Exchange:
KASE
Volume: 2,1Mn $
Rate: 20%
Maturity:
May.2024
Tenure: 1 year
Currency: KZT
Stock Exchange:
KASE
Volume: 2,1Mn $
Rate: 20%
Maturity:
Oct.2024
Tenure: 1 year
Currency: KZT
Stock Exchange:
KASE
Volume: 4,3Mn $
Rate: 20%
Maturity:
Dec.2024
Tenure: 1 year
Currency: KZT
Stock Exchange:
KASE