• TAMAL BASU

The Non-Banking Financial Companies (NBFCs) are the financial institutions that offer the banking services, but do not comply with the legal definition of a bank, i.e. it does not hold a bank license. So far classification of NBFC is concerned; with effect from December 6, 2006 the above NBFCs, registered with RBI have been classified as Asset Finance Company (AFC), Investment Company (IC), and Loan Company (LC). In the present study we have concentrated on the study of financial performance in respect to the AFC. The principal objective of the study is to assess the financial performance of NBFCs in India on selected AFC in respect of growth performance, measuring the deviations in performance and identification of most important indicator among the selected financial indicator. The growth rates are positive in case of the performance indicators ROE, DE Ratio, NPR and CR but it is negative for ROA and ROCE. But the growth rate of ROA, ROE and NPR are statistically insignificant. So far the growth rate of ROCE, DE Ratio and CR is concern, these are statistically significant. It is observed that for all the selected performance parameter the result of Chi-square test is insignificant so null hypothesis is accepted and it resulted that the actual performance in not different with the expected performance for the selected AFC (aggregate) but not depicts the good health situations for the concerned companies as because the performance achievement is not higher as it was estimated. To identify the most important indicator among the selected performance indicators no identifiable factor is found in case of selected AFC (Aggregate) since the factor analysis can’t be applied in this regard. In conclusion, it can be state that the overall performance of the selected assets companies’ are not satisfactory during the period under study and the management of the selected assets finance companies need more emphasis to improve the financial performance which will finally enrich the overall performance of NBFCs.

, CR, DE, Financial Indicator, IC, LC, NBFC, NPR, RBI, ROE, ROCE, ROA

"FINANCIAL PERFORMANCE OF NBFC – AN EMPIRICAL STUDY ON SELECTED ASSETS FINANCE COMPANIES", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.6, Issue 1, page no.677-684, January-2019, Available :http://www.jetir.org/papers/JETIR1901790.pdf

"FINANCIAL PERFORMANCE OF NBFC – AN EMPIRICAL STUDY ON SELECTED ASSETS FINANCE COMPANIES", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.6, Issue 1, page no. pp677-684, January-2019, Available at : http://www.jetir.org/papers/JETIR1901790.pdf