CSL Finance Limited , a prominent player in the financial services sector, has announced significant changes to its capital structure and leadership team following its 33rd Annual General Meeting (AGM) held on September 20, 2025.

Capital Amendment

Shareholders approved an amendment to the capital clause of the company's Memorandum of Association, revising the authorized share capital to Rs. 27.00 crore, divided into 2.70 crore equity shares of Rs. 10.00 each. This move potentially positions the company for future growth and expansion.

Leadership Changes

The AGM saw several key appointments and re-appointments:

Auditors

• S.R. Dinodia & Co. LLP has been appointed as statutory auditors for a three-year term, from the conclusion of the 33rd AGM until the 36th AGM in 2028.
• Jasvinder Kaur & Co. has been appointed as secretarial auditors for a five-year term, until the 38th AGM in 2030.

Executive Leadership

• Ms. Rachita Gupta has been re-appointed as Whole Time Director for a five-year term, from December 30, 2025, to December 29, 2030.
• Mr. Ashok Kumar Kathuria's designation has been changed from non-executive director to executive director.

Independent Directors

• Mr. Parmod Bindal and Mr. Subhash Chand Kwatra have both been re-appointed as Non-Executive Independent Directors for second terms of three years each.

Employee Stock Option Scheme

The company has approved the implementation of the CSL Finance Employee Stock Option Plan 2025 through a trust route. This move is likely aimed at aligning employee interests with those of the company and its shareholders.

Material Related Party Transactions

Shareholders approved material related party transactions with CSL Capital Private Limited, indicating potential strategic collaborations or business arrangements between the two entities.

These developments suggest that CSL Finance is positioning itself for future growth, strengthening its governance structure, and focusing on employee retention and motivation. The changes in leadership and capital structure could potentially impact the company's strategic direction and financial performance in the coming years.

Investors and stakeholders will be keenly watching how these changes translate into business performance and shareholder value in the medium to long term.

CSL Finance Limited, a non-banking finance company, has reported a strong performance for the first quarter, with significant growth in both revenue and profitability. The company also announced several key strategic decisions, including the approval of an employee stock option plan.

Financial Highlights

CSL Finance reported a net profit of 213.00 million rupees for Q1, marking a 15% increase from 185.00 million rupees in the same quarter last year. The company's revenue saw a substantial rise, reaching 594.00 million rupees, up from 510.00 million rupees in the corresponding period of the previous year, representing a 16.5% year-over-year growth.

Loan Book and Asset Quality

The company's Assets Under Management (AUM) grew by 22% year-on-year, reaching 1,299.00 crore rupees in Q1. The on-book AUM stood at 1,249.00 crore rupees, showing a robust 24% increase compared to the previous year.

Despite the growth, CSL Finance maintained a strong focus on asset quality. The Gross Non-Performing Assets (GNPA) ratio stood at 0.56% in Q1, slightly up from 0.46% in the previous quarter and 0.45% in the same quarter last year. The Net NPA ratio increased to 0.42% from 0.34% in the previous quarter.

Business Segment Performance

The company's loan book mix shifted towards the Wholesale segment, which now accounts for 69% of the AUM, while the SME Retail segment comprises 31%. This shift reflects the company's cautious stance in the current market scenario, particularly in the NCR real estate market.

Strategic Developments

In a significant move, the CSL Finance board approved the implementation of the CSL Employee Stock Option Plan 2025 (CSL ESOP 2025). This performance-linked ESOP scheme aims to align leadership incentives with the company's long-term strategic objectives and shareholder value creation. The plan includes a pool of 22,78,262 stock options, each convertible into one equity share of the company.

Management Changes and Auditor Appointment

The board approved the following changes:

• Re-appointment of Ms. Rachita Gupta as Whole Time Director for a further term of 5 years
• Appointment of Mr. Ashok Kumar Kathuria as Executive Director
• Appointment of S.R. Dinodia & Co. LLP as the new Statutory Auditors for a term of three years, subject to shareholder approval

Outlook

While maintaining a cautious approach in the SME Retail segment due to industry-wide stress, CSL Finance remains optimistic about its overall performance for the current financial year. The company anticipates a rebalancing of its AUM mix in favor of SME Retail as growth picks up, with expectations of improved profitability metrics alongside this shift.

CSL Finance's strong Q1 results, coupled with strategic initiatives like the ESOP plan and management changes, position the company well for sustained growth in the coming quarters. The focus on maintaining asset quality while pursuing growth opportunities reflects a balanced approach to navigating the current financial landscape.