Ujjivan Small Finance Bank Q4 Review - Asset Quality Blip But Opex, Deposits Doing Well: Centrum Broking
Ujjivan Small Finance Bank Entrance Bengaluru. (Source: BloombergQuint)

Ujjivan Small Finance Bank Q4 Review - Asset Quality Blip But Opex, Deposits Doing Well: Centrum Broking

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.

Centrum Broking Report

Ujjivan Small Finance Bank Ltd.'s earnings were mixed with net interest income being marred by interest reversal driven by asset quality blip.

Fee income and operating expense surprised positively.

Loan growth was better at 7% YoY with the secured pool share improving to 27% (a year ago 22%).

Momentum in deposits continues with current account and savings account share enhancing QoQ by 2.9% to 20.5%.

Operating expense surprises positively again with FY21 cost to income at 60% (guidance ~62%) and the bank is targeting a 300 basis points reduction in FY22.

Click on the attachment to read the full report:

Centrum Broking Ujjivan Small Finance Bank - Q4FY21 Result Update .pdf

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