CFSL Integrated Report 2025

FINANCIAL

180

Risk Management

Corporate Governance

Statutory Disclosures

Net investment in leases (cont’d) Expected credit loss GROUP AND COMPANY

2024

STAGE 1 TOTAL MUR m MUR m MUR m MUR m STAGE 2 STAGE 3

At 1 October 2023

39.0 47.0

11.1

109.3

159.4

–

–

47.0

New assets originated or purchased

(16.2)

3.1

13.1

–

Transfers on new assets originated or purchased Assets derecognised or repaid (excluding write offs)

(3.9)

(0.3) (8.1) (0.3) (6.4) (0.3) 7.3

(43.2)

(47.4)

16.8

(8.7) (7.0)

– – –

Transfers to Stage 1 Transfers to Stage 2 Transfers to Stage 3

(0.3)

–

0.3 5.4

(16.5)

(17.5)

Impact of year end ECL of exposures transferred between stages Changes to estimates and assumptions used for ECL calculations

(6.3) (0.3)

–

(6.6) (4.7)

–

(4.4)

Amounts written off At 30 September 2024

59.3 130.2 Included in Finance leases an amount of repossessed assets of MUR5.7m (2024: MUR8.3m). During the year, a loss of MUR2.1m (2024: MUR0.9m) was incurred on sale of MUR3.3m (2024: MUR5.2m) of repossessed assets. Other credit agreements The table below shows the credit quality and the maximum exposure to credit risk based on the Group’s internal credit rating system and year end stage classification. The amounts presented are gross of impairment allowances. Details of the Group’s internal grading system and policies on whether ECL allowances are calculated on an individual or collective basis are set out in Note 4.1(d). GROUP AND COMPANY 2025 STAGE 1 STAGE 2 STAGE 3 TOTAL MUR m MUR m MUR m MUR m Performing 7,508.3 – – 7,508.3 Watchlist – 504.4 – 504.4 Non-performing – – 906.0 906.0 7,508.3 504.4 906.0 8,918.7 6.1 64.8

GROUP AND COMPANY

2024

STAGE 1 TOTAL MUR m MUR m MUR m MUR m STAGE 2 STAGE 3

7,047.6

–

– –

7,047.6

Performing

– –

423.4

423.4 870.9

Watchlist

–

870.9 870.9

Non-performing

7,047.6

423.4

8,341.9

Gross carrying amount An analysis of changes in the gross carrying amount and the corresponding ECL allowances in relation to finance leases and other credit

agreements is as follows: GROUP AND COMPANY

2025

STAGE 1 TOTAL MUR m MUR m MUR m MUR m STAGE 2 STAGE 3

7,047.6 5,792.9

423.4

870.9

8,341.9 5,792.9

At 1 October 2024

–

–

New assets originated or purchased

(632.1)

308.2

323.9

–

Transfers on new assets originated or purchased Assets derecognised or repaid (excluding write offs)

(4,361.8)

(252.0) (125.3)

(424.1) (71.2) (41.8)

(5,037.9)

196.5

– – –

Transfers to Stage 1 Transfers to Stage 2 Transfers to Stage 3 Amounts written off

(249.5) (284.7)

291.3

(140.3)

425.0

(0.6)

(0.9)

(176.7)

(178.2)

7,508.3

504.4

906.0

8,918.7

At 30 September 2025