BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
ICICI Securities Report
PNB Housing Finance Ltd.’s Q3 FY22 earnings delivery was weak and lower than expected. Profit after tax at Rs 1.9 billion was down 19-20% YoY/QoQ.
Interest de-recognition of Rs 0.79 billion and incremental lower spreads weighed on net interest margin compression, causing net interest income decline of 26% YoY/13% QoQ.
Most surprisingly, PNB Housing Finance's disbursement momentum derailed in Q3 FY22 that too in retail segment as well and the management articulated competition intensity as rationale for the same.
This, coupled with balance transfer run-rate of 18% and sell-down/run-down in corporate book, resulted in 5% QoQ decline in assets under management.
The Reserve Bank of India’s revised asset classification norms led to stage-III assets inching up to 7.64%. Despite this credit cost was contained at less than 90 bps as expected credit loss provisions remained at 4.4%.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
POPULAR