Tourism Finance Corporation of India Limited (TFCI) is an India-based financial institution incorporated in 1989 and based in New Delhi, India. The company was set up as an All India Financial Institution, pursuant to the recommendations of the "National Committee on Tourism" under the aegis of the Planning Commission in 1988. Its primary objective is to expedite the growth of tourism infrastructure in the country by providing dedicated lines of credit on a long-term basis to tourism-related projects.
TFCI is a premier tourism financing institution, acting as a catalyst in developing tourism and social infrastructure for over three decades. The company was promoted by IFCI Ltd along with other All-India Financial/Investment Institutions and Nationalised Banks.
The company provides financial assistance through rupee term loans, corporate loans, and subscription to debentures/equity mainly to the tourism sector, which includes hotels, resorts, restaurants, food courts, amusement parks, ropeways, and multiplexes. Beyond tourism, TFCI also extends financial assistance to other sectors such as infrastructure, manufacturing, real estate, educational institutions, healthcare institutions, non-banking finance companies, and the real estate sector engaged in affordable/middle-class housing development.
TFCI also offers advisory and consultancy services, including tourism area potential services, tourism master plan development, disinvestment services for central and state governments, project feasibility reports, and market survey and marketing tie-ups of tourism projects for private and public sectors, along with debt syndication and investment banking services.
The company pioneered and innovated various products in financing the diverse needs of the industry, such as the first Amusement-cum-Water Park at Mumbai, the first Water Sports Complex at Goa, the Palace on Wheels, the highly acclaimed spa The Ananda at Himalayas, and the restoration of heritage resorts including the Devigarh Palace at Udaipur.
As of recent data, TFCI has a market capitalization of ₹2,638 crore. On a full-year basis, the company's standalone net profit jumped 13.9% to ₹103.81 crore on a 7.4% increase in total income to ₹260.06 crore in FY25 over FY24. Net interest income rose 12.35% to ₹106.69 crore in FY25 as compared with ₹94.96 crore in FY24.
Net interest margin (NIM) stood at 5.07% in FY25 as against 4.58% in FY24. The company's board recommended a dividend of ₹3 per equity share of ₹10 each for FY25. TFCI continues to play a significant role in India's tourism financing landscape while expanding its operations into other sectors, making it a specialized financial institution with a unique market position in the Indian financial services sector.
- Q4 FY2024-25: Net profit rose 48.04% to ₹30.20 crore as against ₹20.40 crore during Q4 FY2023-24.
- Q1 FY2024-25: Net profit rose 4.23% to ₹25.40 crore as against ₹24.37 crore during Q1 FY2023-24. Sales rose 4.46% to ₹61.80 crore.
- Current Price: ₹285
- Market Capitalization: ₹2,638 crore
- Revenue (FY25): ₹260.06 crore
- Profit (FY25): ₹103.81 crore
- Stock P/E: 25.4
- Book Value: ₹131
- Dividend Yield: 0.88%
- ROCE: 11.0%
- ROE: 9.00%
- Face Value: ₹10.0
- Net Interest Margin (FY25): 5.07%
- Tier I capital adequacy ratio (as of 31st March 2025): 69.18%
- Promoter Holding: 3.85% (decreased by 24.6% over the last 3 years)
The company's board approved raising funds of up to ₹1,000 crore by way of long/medium/short-term/overdraft loans from banks/financial institutions/other institutions or issue of bonds/debentures/other instruments. The board has also approved a 1:5 stock split and secretarial auditor appointment, subject to necessary approvals.
TFCI is focusing on lending/investing in diverse sectors like healthcare, pharma, education, and manufacturing, while maintaining its leadership position in lending to the hospitality segment. It has also ventured into Investment Banking activities, including M&A advisory, Special Situation Funding & Private Equity arrangership, Debt Syndication, and asset buy/sell side advising.
The company has a low promoter holding of 3.85%, which has decreased by 24.6% over the last 3 years. The stake of IFCI (largest shareholder) was divested through an open market operation in 2017. Current promoter/promoter group shareholders include India Opportunities III Pte Ltd., Tamaka Capital (Mauritius) Ltd., LIC of India, Oriental Insurance Company, and Sajeeve Thomas.
Tourism Finance Corporation of India Ltd is listed and trades on the NSE stock exchange. The stock symbol for the company is "TFCI." The company has delivered a poor sales growth of -1.07% over the past five years.
