Company Overview

Usha Financial Services Limited was incorporated as a Private Limited Company in the name and style of "Usha Financial Services Private Limited" issued by the Registrar of Companies, Delhi dated May 16, 1995. Subsequently, the Company converted into a Public Limited Company, and its name changed to "Usha Financial Services Limited". A new Certificate of Incorporation upon conversion was issued by the Registrar of Companies, Delhi, dated October 12, 2022. The initial promoters were Mr. Satya Parkash Gupta and Ms. Usha Gupta. In the financial year 2014-15, Mr. Rajesh Gupta and Mr. Anoop Garg acquired the majority shareholding in the Company.

The Company operates as a non-banking finance company (NBFC) registered with the Reserve Bank of India as a NBFC-ICC (Investment & Credit) - base layer - non-systemically important non-deposit taking NBFC. Incorporated in May 1995, Usha Financial Services Limited is a non-banking finance company providing lending solutions to other NBFCs, corporates, MSMEs, and individuals, with a particular focus on women entrepreneurs.

Business Operations and Services

Usha Financial Services operates as a diversified financial services provider with multiple business segments. It offers lending solutions to fellow NBFCs and corporates, MSMEs, and individuals, especially women entrepreneurs. Their services also extend to Electric Vehicle (EV) financing. The company provides a diversified range of financial products to individuals, body corporates, NBFCs, and MSMEs.

The company's primary business segments include:

- Lending to NBFCs and Corporates: Providing capital to NBFCs for onward lending and to corporates for working capital needs.

- Green Financing / Electric Vehicle Financing: Special focus on financing electric vehicles and batteries, promoting sustainable transportation solutions.

- MSMEs & Small Entrepreneurs: Financial assistance tailored for small and medium enterprises, with a focus on supporting growth, particularly for women entrepreneurs.

Market Position and Stock Performance

Usha Financial Services Ltd has a market capitalisation of ₹178 Cr as on 09-Jul-2025. As per Value Research classification, it is a Small Cap company. The stock is listed on both NSE (symbol: USHAFIN) and BSE (code: 93327) with ISIN code INE0LS001014.

The 52-week high of Usha Financial Services Ltd share price is Rs. 168.00, while the 52-week low is Rs. 48.65, indicating significant volatility in the stock price over the past year. Over the past 6 months, the Usha Financial Services share price has decreased by 34.88%, and in the last one year, it has decreased by 48.06%.

Financial Metrics and Ratios

The company's current financial ratios as of July 2025 reflect its valuation metrics in the market.

- PE Ratio: 12.75 (as of Jul 07, 2025)

- PB Ratio: 1.20 (as of Jul 07, 2025)

- P/B Ratio: 1.52 times (as of 09-Jul-2025), a 11% premium to its peers' median range of 1.37 times.

- P/E Ratio: 12.88 times (as of 09-Jul-2025).

- Revenue (TTM): ₹59.6 Cr (Profit: ₹13.8 Cr)

- Operating Revenue (TTM): ₹168.49 Cr

- Annual Revenue Growth: -5% (needs improvement)

- Pre-tax Margin: 30% (great)

- ROE: 6% (fair, needs improvement)

Management and Promoter Holdings

The company's management structure includes key leadership positions, with Rajesh Gupta serving as the Managing Director. The promoters of Usha Financial Services Ltd are Rajesh Gupta, Anoop Garg, Geeta Goswami, Nupur Gupta, Nimisha Jain, Pankaj Jain, and Kritika Goswami.

- Promoter Holding: 74.5%, demonstrating strong promoter confidence in the business. Promoter holding has increased by 2.22% over the last quarter, indicating continued commitment from the founding group.

IPO and Public Listing

Usha Financial Services made its debut in the public markets through an Initial Public Offering (IPO) in October 2024. The Usha Finance Services IPO was subscribed 12.87 times. The issue opened for bidding on October 24, 2024, and closed on October 28, 2024. The price band for the IPO was set at Rs 160 to Rs 168 per share. The IPO comprised a fresh issue of 58,60,000 shares.

The scrip was listed at Rs 164, a discount of 2.38% over the IPO price. The stock was frozen at its lower limit of 5% compared to its listing price. The company intends to utilize the net proceeds for augmenting its capital base and for general corporate purposes. Ahead of the IPO, Usha Financial Services raised ₹27.90 crore from anchor investors on October 23, 2024.

Recent Corporate Developments

The company has been active in corporate governance and regulatory compliance:

- 19 July 2025: USHA Financial is exempt from submitting a corporate governance compliance report per SEBI SME rules. (Certificate under SEBI (Depositories and Participants) Regulations, 2018).

- 14 July 2025: Submission of SEBI compliance certificate on share dematerialization for Q1 FY2025-26.

- 12 July 2025: Usha Financial Services announces EGM on August 6, 2025; includes possession and auction notices under SARFAESI Act. This indicates the company's involvement in asset recovery processes, which is typical for NBFCs dealing with loan defaults.

The company operates in the competitive financial services sector, specifically focusing on the NBFC space. It competes with larger, established players while carving out its niche in serving underserved segments like women entrepreneurs and MSME businesses. Its emphasis on green financing and electric vehicle financing positions it well to capitalize on India's transition towards sustainable transportation solutions.