BQ Prime’s particular analysis part collates high quality and in-depth fairness and economic system analysis experiences from throughout India’s high brokerages, asset managers and analysis companies. These experiences provide BQ Prime’s subscribers a possibility to broaden their understanding of corporations, sectors and the economic system.
Aavas Financiers Ltd. reported weak web curiosity revenue progress at 19% YoY (-2% QoQ) led by sequential decline in yields. Decrease opex nevertheless restricted influence on revenue after tax (Price/property declined to three.5% versus 3.9% in Q1).
Belongings underneath administration progress was in-line at 5% QoQ and 22% YoY. Yield decline was pushed by each retention of current clients and new clients coming in at decrease price.
Aavas Financiers’ asset high quality metrics had been marginally increased (stage 3% up 4 bps QoQ), partly led by seasoning of non-home mortgage guide.
We downgrade earnings by ~4% for FY24/25E led by decrease spreads versus earlier. Rolling over to September-25E, preserve ‘Accumulate’ with goal value of Rs 1750, valuing housing finance firm at 2.9 occasions price-to-book worth in opposition to return on asset/return on fairness of three.6%/16%.
Assigned a number of is decrease versuss friends given its comparatively modest progress and profitability metrics.
Click on on the attachment to learn the total report:
DISCLAIMER
This report is authored by an exterior social gathering. BQ Prime doesn’t vouch for the accuracy of its contents neither is answerable for them in any manner. The contents of this part don’t represent funding recommendation. For that it’s essential to all the time seek the advice of an professional based mostly in your particular person wants. The views expressed within the report are that of the writer entity and don’t characterize the views of BQ Prime.
Customers don’t have any license to repeat, modify, or distribute the content material with out permission of the Unique Proprietor.
