Motilal Oswal: Indostar - Loan Book Running Down; Sale of GNPLs To Asset Reconstruction Company   
Indian two thousand and five hundred rupee banknotes are arranged for a photograph in Mumbai. (Photographer: Dhiraj Singh/Bloomberg)

Motilal Oswal: Indostar - Loan Book Running Down; Sale of GNPLs To Asset Reconstruction Company   

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.

Motilal Oswal Report

Indostar Capital Finance Ltd. reported Q2 FY21 profit after tax of Rs 316 million (down 35% QoQ and YoY).

The quarter was characterised by continued run-down of the loan book and sale of vehicle finance gross non-performing loans to an asset reconstruction company, resulting in lower GNPL ratio.

The company continues to ‘retailise’ its balance sheet with share of retail asset under management at 74% (versus 66% YoY).

Management targets to achieve 100% retailisation over the next 12-15 months.

Click on the attachment to read the full report:

Motilal Oswal Indostar Capital Finance Q2FY21 Result Update.pdf

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