Jana Small Finance Bank Ltd - Stock Valuation and Financial Performance

BSE: 544118 | NSE: JSFB | Bank - Private | Small Cap

Jana Small Fin. Bank Share Price

557.90 -5.80 -1.03%
as on 10-Oct'24 12:58

DeciZen - make an informed investing decision on Jana Small Fin. Bank

Overall Rating
Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Semi Strong

Jana Small Finance Bank stock performance -

mw4me loader
P/E Ratio (SA):
8.81
Market Cap:
5,895.8 Cr.
52-wk low:
365
52-wk high:
760.9

Is Jana Small Finance Bank Ltd an attractive stock to invest in?

1. Is Jana Small Finance Bank Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Jana Small Finance Bank Ltd is a average quality company.

2. Is Jana Small Finance Bank Ltd undervalued or overvalued?

The key valuation ratios of Jana Small Finance Bank Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Jana Small Finance Bank Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Jana Small Finance Bank Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Jana Small Fin. Bank:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Jana Small Finance Bank Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good
Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
Net Interest Income (₹ Cr.)3718771,5933914371,0111,2631,3901,6602,1272,211
YoY Gr. Rt. %-136.7%81.6%-75.5%11.8%131.5%24.9%10%19.4%28.1%-
Total Income7591,7852,9781,5971,3682,4252,7213,0623,7004,6844,898
YoY Gr. Rt. %-135.1%66.9%-46.4%-14.3%77.2%12.2%12.6%20.8%26.6%-
Adj EPS (₹ ) 174.736161.9-637.3-413.35.914.23.446.66464
YoY Gr. Rt. %-106.7%-82.8%-1128.8%NANA139.7%-76.1%1269.4%37.5%-
BVPS (₹ )2,172.62,782.3872.8387.8108.3173187.4201.2274.1341357.3
YoY Gr. Rt. %-28.1%-68.6%-55.6%-72.1%59.7%8.4%7.4%36.2%24.4%-
To view Net Profit/Total Funds (%) Colour Rating Guide click here
Net Profit/Total Funds (%)21.91.1-20.3-20.30.30.40.11.12.30
To view Net NPA to Net Advances (%) Colour Rating Guide click here
Net NPA to Net Advances (%)000.627.74.41.45.342.60.61
To view Capital Adequacy Ratio (%) Colour Rating Guide click here
Capital Adequacy Ratio (%)----------20.31

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Net Interest Income21.4%37.2%19%28.1%
Total Income22.4%27.9%19.9%26.6%
Adj EPS-10.6%NA65%37.5%
BVPS-18.6%25.8%22.1%24.4%
Share Price - - - -

Key Financial Ratios

RATIOS \ YEARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
Interest Earned / Total Income90.9191.4794.7597.3591.482.1391.889.0383.1185.6785.8
Margins To view Margins Colour Rating Guide click here
NIM (%)0011.24.34.97.46.87.16.66.70
Performance Ratios To view Performance Ratios Colour Rating Guide click here
Return on Equity (%)10.9157.1-127.7-191.64.37.91.820.126.419.2
Liquidity Ratio To view Liquidity Ratio Colour Rating Guide click here
CASA (%)00008.17.416.322.520.219.7-

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 18.30%

Total Income has increased 19.85 CAGR in last 3 years

Net Profit has increased 65.04 CAGR in last 3 years

Net NPA to Net Advances has declined versus last 3 years average

Total income growth is good in last 4 quarters

No data to display

Latest Financials - Jana Small Finance Bank Ltd.

Standalone Consolidated
TTM EPS (₹) 64 -
TTM Sales (₹ Cr.) 4,013 -
BVPS (₹.) 357.3 -
Reserves (₹ Cr.) 3,632 -
P/BV 1.58 -
PE 8.81 -
From the Market
52 Week Low / High (₹) 365.00 / 760.85
All Time Low / High (₹) 365.00 / 760.85
Market Cap (₹ Cr.) 5,896
Equity (₹ Cr.) 104.6
Face Value (₹) 10
Industry PE 17.8

Management X-Ray of Jana Small Fin. Bank:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Jana Small Fin. Bank

Adj EPS (Rs.)

Total Income (Cr.)

ROE (%)

BVPS (Rs.)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Income 2,9781,5971,3682,4252,7213,0623,7004,684
Interest Income 2,8221,5551,2511,9922,4982,7273,0754,013
Other Income 15642118433223336625671
Expenditure 2,8084,1013,3172,3952,6483,0453,4444,015
Interest Expense 1,2291,1648149801,2351,3371,4151,886
Operating Expenses 1,1891,4551,1311,1641,0471,1391,2851,605
Provisions3891,4821,373250367569744524
Profit Before Tax106-2,403-1,949307217256514
Taxes -6410100000-155
Profit After Tax 170-2,504-1,949307217256670
Adjusted EPS (₹)61.94-637.26-413.295.9414.243.4046.5664.02
Dividend Payout Ratio (%)2%0%0%0%0%0%0%0%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24

Equity and Liabilities

Share Capital 2739197201201201325105
Total Reserves 2,3691,4844648279009831,4523,462
Minority Interest00000000
Deposits004,1999,65212,31613,53616,33422,571
Borrowings 11,6677,6624,0862,8994,8154,5106,2775,211
Other Liabilities 8095635005678469581,2551,361
Total Liabilities 14,8739,7489,44614,14519,07920,18925,64432,710

Assets

Balance with RBI 161981,0814742,1251,5301,0111,026
Balance with Banks2,2759198850613471,0761,029
Investments 3481,9971,4682,6504,6985,0655,2216,738
Advances 11,6146,0286,2179,95711,60013,00717,76023,111
Net Block 192360332259211170123139
Other Assets390221258298309408448665
Total Assets 14,8739,7489,44614,14519,07920,18925,64432,710

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Cash Flow From Operating Activity -2,5621,4572,771949615859-1,137707
Cash Flow From Investing Activity -179-256-231-285-1,266-1,330-434-780
Cash Flow From Financing Activity 3,015-2,375-2,489-8521,917-2402,10433
Net Cash Flow 273-1,17451-1881,266-711532-40
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24

Operational & Financial Ratios

EPS (₹)62-637-41361434764
DPS (₹)10000000
BVPS (₹)873388108173187201274341

Margin Ratios

Yield on Advances (%)24.325.820.120.021.521.017.317.4
Yield on Investments (%)7.45.87.66.44.15.16.35.5
Cost of Liabilities (%)10.515.29.87.87.27.46.36.8
NIM (%)11.24.34.97.46.87.16.66.7
Interest Spread (%)13.810.610.312.214.313.611.110.6

Performance Ratios

ROA (%)1.1-20.3-20.30.30.40.11.12.3
ROE (%)7.1-127.0-191.04.37.91.820.126.4
ROCE (%)9.5-10.7-18.48.58.87.39.711.2

Efficiency Ratios

Cost to Income Ratio (%)68.0336.0204.080.670.566.056.257.4
Operating Costs to Assets (%)8.014.912.08.25.55.65.04.9

Valuation Parameters

Price/Book(x)0.00.00.00.00.00.00.01.2

Jana Small Finance Bank Ltd Stock News

Jana Small Finance Bank Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Jana Small Fin. Bank on 10-Oct-2024 12:58 is ₹557.9.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 10-Oct-2024 12:58 the market cap of Jana Small Fin. Bank stood at ₹5,895.8.
The latest P/E ratio of Jana Small Fin. Bank as of 10-Oct-2024 12:58 is 8.81.
The latest P/B ratio of Jana Small Fin. Bank as of 10-Oct-2024 12:58 is 1.58.
The 52-week high of Jana Small Fin. Bank is ₹760.9 and the 52-week low is ₹365.0.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Jana Small Fin. Bank is ₹4,013 ( Cr.) .

About Jana Small Finance Bank Ltd

The Bank was incorporated as ‘Janalakshmi Financial Services Private Limited’ on July 24, 2006 at Bengaluru, Karnataka as a private limited company under the Companies Act, 1956, and was granted the certificate of incorporation by the Registrar of Companies, Karnataka at Bengaluru (RoC). Janalakshmi Financial Services Private Limited, was granted a certificate of registration dated March 4, 2008 by Reserve Bank of India (RBI) to commence the business of non-banking financial institution without accepting public deposits, and was converted into an NBFC-MFI with effect from September 5, 2013. Subsequently, pursuant to a Board resolution dated June 1, 2015 and a Shareholders’ resolution dated June 29, 2015, the Bank was converted into a public limited company under the Companies Act, 1956 with effect from August 10, 2015, and the name of the Bank was changed from ‘Janalakshmi Financial Services Private Limited’ to ‘Janalakshmi Financial Services Limited’, and a fresh certificate of incorporation of the Bank was issued by the RoC under such name. Janalakshmi Financial Services Limited, was granted a fresh certificate of registration as a non-banking financial institution without accepting public deposits dated September 18, 2015 pursuant to such name change. The Bank, then known as Janalakshmi Financial Services Limited, was granted an in-principle approval by the RBI to convert into a small finance bank (SFB) on October 7, 2015. Thereafter, the Bank received the final approval, dated April 28, 2017 from the RBI, to establish and carry on business as an SFB. Pursuant to resolutions passed by the Board and Shareholders on May 30, 2017 and January 12, 2018 respectively, the name of the Bank was changed from ‘Janalakshmi Financial Services Limited’ to ‘Jana Small Finance Bank Limited’, and a fresh certificate of incorporation dated January 29, 2018 was issued by the RoC consequent upon the change of name. The Bank commenced its business as an SFB with effect from March 28, 2018 and its name was included in the second schedule to the RBI Act pursuant to a notification dated July 16, 2019 issued by the RBI.

The bank is the fourth largest Small Finance Bank in terms of Assets Under Management (AUM) and the fourth largest Small Finance Bank in terms of deposit size as at September 30, 2023. It was incorporated on July 24, 2006, registered as a non-banking finance company (NBFC) on March 4, 2008, and it was awarded non-banking finance company-microfinance institution (NBFC-MFI) status on September 5, 2013. It started operating as a Small Finance Bank with effect from March 28, 2018 and became a Scheduled Commercial Bank on July 16, 2019. The bank has gained an understanding of the financial needs of underbanked and underserved customers over the past 16 years. During this journey, apart from obtaining an in-depth understanding of customer behaviour and requirements in the segment, it has taken multiple steps to improve the customer experience. This has been achieved through a combination of measures, such as digital sourcing and digital disbursement of loans.

The bank is also a corporate agent for third-party life insurance products, general (non-life) insurance products and health insurance products, including COVID-19 insurance products. It also offers Point of Sales (POS) terminals and payment gateway services through its merchant acquiring partners. In addition to delivering its products and services through banking outlets and ATMs, it delivers its products and services through business correspondents, ATM cum debit cards, mobile banking platforms, internet banking portals and SMS alerts. In line with its vision, it has been upgrading its technology platforms. A significant proportion of the bank’s sourcing and collections across assets and liabilities are digitalised using mobile phones / tablets, with an emphasis on straight through processing while incorporating fraud and regulatory checks. PAN validation, e-KYC, credit bureau checks supporting multiple bureaus, and AML checks are fully automated using an integration layer. Its digital liability account opening platform, DIGIGEN (www.janadigi.com), provides a fully digital self on-boarding platform for opening accounts. DIGIGEN, coupled with its video-KYC platform enables digital only deposit accounts to be opened by its customers. It has also invested in various technologies, infrastructure, and tools to drive data analytics and to convert its data into impactful insights on the behavioural trends of its customers and prospective customers. 

Business area of the bank

The bank is a non-banking finance company (NBFC) primarily engaged in providing MSME loans, affordable housing loans, term loans to NBFC, loans against fixed deposits, two-wheeler loans and gold loans. Its primary unsecured loan products are individual and micro business loans, agricultural and allied loans, and group loans (group loans are offered to a group of women as per the Joint Liability Group (JLG) model). Since becoming a Small Finance Bank, it has focused on increasing its secured gross advances to diversify its advances, and within unsecured advances, it has focused on growing its agricultural and allied loans.  

Awards, accreditations and recognitions 

  • 2016: ‘Best Financial Service Firm in India’ by VC Circle for the year 2016.
  • 2017: Goodwill Brand Award 2017 by Process Evaluators and Research, BARC Asia.
  • 2017: Featured in ‘Fortune – The top 500’ list of largest corporations in India for the year 2017.
  • 2018: Winner at the cfi.co Finance Awards for ‘Best Inclusive Financial Service India 2018’ by CapitalFinance International.
  • 2019: Runner-up at the Global Leadership Award 2019 by Dale Carnegie.
  • 2020: Campaign Decade - Plus - award by RMAI Flame Awards Asia
  • 2020 Featured in ‘Fortune – The top 500’ list of largest corporations in India for the year 2020.
  • 2020: Winner at the cfi.co Inclusive Finance Awards for ‘Best Inclusive Financial Service India 2020’ by CapitalFinance International.
  • 2020: CSR award for excellence in BFSI sector by Golden Globe Tigers 2020 in December 2020.
  • 2020: Campaign Decade - Plus - Gold award by RMAI Flame Awards Asia.
  • 2022: Award for ‘Best IT Risk Management’ by Indian Banks Association.
  • 2023: Best Data Quality- SFB Consumer Award 2022-23 by TransUnion CIBIL Limited.

Major events and milestones

  • 2015: Received in-principal approval by the RBI to convert to an SFB.
  • 2015: RBI granted certificate of registration to commence the business of non-banking financial institution without accepting public deposits.
  • 2016: Investment by Caladium Investment Pte. Ltd in the Bank of approximately Rs 3,705 million.
  • 2017: Received RBI Final Approval for commencement of SFB operations.
  • 2017: Investment by Bajaj Allianz Life Insurance Company Limited, Bajaj Allianz General Insurance Company Limited and ICICI Prudential Life Insurance in the Bank of approximately Rs 1,500 million, Rs 50 million and Rs 1,000 million, respectively.
  • 2018: Investment by HarbourVest Partners Co-Investment Fund IV L.P and ICICI Lombard General Insurance Company in the Bank of approximately Rs 2,574 million and Rs 503 million, respectively.
  • 2018: Launched Gold Loan.
  • 2018: Commenced Commercial Operations as an SFB.
  • 2019: Included in the second schedule to the RBI Act.
  • 2019: Launched Affordable Housing Loan.
  • 2019: Investment by Amansa Holdings Pte. Ltd and Hero Enterprise Partner Ventures in the Bank of approximately Rs 2,150 million and Rs 300 million, respectively.
  • 2020: The bank’s gross AUM was Rs 112,630.35 million and served over 3.05 million active customers as on September 30, 2020.
  • 2020: Crossed Rs 102,299.09 million deposit as on September 30, 2020.
  • 2020: Launch of DigiGen – Fully integrated, paperless and digital account opening and KYC process.
  • 2020: Launched Two-Wheeler Loan.
  • 2021: The bank’s gross AUM was Rs 153,473.37 million as on March 31, 2021.
  • 2023: The bank has recorded highest ever PAT of Rs 2,559.71 million for the financial year ended March 31, 2023.
  • 2023: Investment of Rs 3,066.19 million raised by new investors.
  • 2023: Investment by Dovetail, Deepak Talwar, Volrado, Singularity in the Bank of Rs 200 million, Rs 10 million, Rs 530 million, and Rs 380 million, respectively.
  • 2023: The bank has a pan-India distribution network and as on March 31, 2023, it crossed 754 branches of which 272 are Unbanked Rural Centers and 61 ATMs.
  • 2023: The bank’s gross AUM was Rs 201,018.01 million as on March 31, 2023.

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