Financial Services Q4 Earnings Preview - Greenshoots Visible, Full Recovery Yet Distant: 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
Greenshoots are clearly visible in the non banking financial company space as disbursements and collections pace up closer to pre-Covid-19 levels and risk aversion and funding challenges subside.
Higher single digit assets under management growth, strengthening pre-provision operating profit and reduced incremental credit costs sum up Q4 FY21 earnings expectations.
However, micro small and medium enterprise restructuring and Emergency Credit Line Guarantee Scheme schemes would limit reported gross non-performing asset for Q4 FY21.
While these regulatory dispensations have been masking true asset quality picture, Q4 FY22 should provide clarity on ultimate credit loss.
Click on the attachment to read the full report:
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.