NBFCs Q3 Earnings Preview: A Decisive Quarter, Says Motilal Oswal
A customer counts Indian rupee banknotes. (Photographer Dhiraj Singh/Bloomberg)

NBFCs Q3 Earnings Preview: A Decisive Quarter, Says Motilal Oswal

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

Q3 FY21 is the first quarter post lifting of the moratorium. Across product segments, there is expected to be month-on-month improvement in collection efficiency (CE).

Adjusted for arrear collections, on-time CE is only marginally below pre-Covid-19 levels.

In addition, a large portion of customers who had not paid a single EMI during the moratorium period have started making payments in Q3.

The festival season was largely healthy across segments. Home loans witnessed a sharp improvement in volumes, with disbursements expected to be up YoY for the large players.

In the vehicle finance segment, two-wheeler volumes were slightly tepid, while passenger vehicle and tractor volumes remained healthy.

Click on the attachment to read the full report:

Motilal Oswal NBFC Q3FY21 Results Preview.pdf


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