Home First Finance - Core Earnings Steady; Profitability Buoyed By Securitisation Income: ICICI Securities
Residential buildings in the Parel area of Mumbai, India. (Photographer Dhiraj Singh/Bloomberg)

Home First Finance - Core Earnings Steady; Profitability Buoyed By Securitisation Income: ICICI Securities

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

Home First Finance Co. exited FY21 on expected lines with:

  1. Stage-III assets at 1.8%, credit cost at 100 basis points, 1+ days past due pool at 6.2%, and zero restructuring.

  2. Disbursements regaining traction in Q4 FY21 or H2 FY21 (to be precise) supported assets under management growth of 14% year-on-year/5% quarter-on-quarter.

  3. After a pause, securitisation of Rs 1.2 billion of asset pool yielded income of Rs 181 million (securitisation income in FY21 being at par with FY20 at 1.1% of assets).

  4. Portfolio spreads drawing support of lower borrowing cost (down to 7.4% in Q4 FY21) settled more than 5%.

Click on the attachment to read the full report:

ICICI Securities HomeFirst Q4FY21 Results Update.pdf

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