Cautiously Optimistic On L&T Finance, Says Prabhudas Lilladher 
A customer holds Indian rupee notes at a store in Mumbai, India. (Photographer Dhiraj Singh/Bloomberg)

Cautiously Optimistic On L&T Finance, Says Prabhudas Lilladher 

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.

Prabhudas Lilladher Report

We are positive on Larsen and Toubro Finance Holdings Ltd. in anticipation of lower non-performing asset stress on three counts:

  1. Increased provisioning buffers (1.9% standard asset provisioning, expected credit loss at 64%, 10% provisions on Q3 restructured book of Rs 2 billion)

  2. Write-offs limited to only one conglomerate account

  3. Maximum potential restructured book at 1.4%.

Given incremental provisioning and restructuring stand capped coupled with additional buffers, we lower our NPA forecasts to 6% as against 6.5-6.7% earlier over FY21-23E.

Click on the attachment to read the full report:

Prabhudas Lilladher L&T Finance Holding Q3FY21 Result Update.pdf


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.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.