Financials Q3 Results Preview - What's In Store For SFBs, NBFCs, HFCs & Ratings; Read Yes Securities' Analysis

Yes Securities expects the Group MFI portfolio to decline by 1- 8% QoQ across most of the microfinance players (including small finance banks) and coverage NBFC-MFIs and Microfinance-facing SFBs to further cut growth outlook for the year..NDTV Profit’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 NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Yes Securities Report.Asset book composition would dictate Growth and RoE performance for our coverage companies in Q3 FY25 as the performance divide between secured and unsecured loan products would remain stark and even within various secured products the performance would differ. Within unsecured, microfinance would remain the weakest segment with portfolios markedly contracting for third consecutive quarter and credit cost exacerbating. Elevated provisioning would continue in PL and Cards along with further tightening of acquisitions and book growth. Vehicle financing could likely see a small growth revival with better disbursement trends in passenger vehicle, tractor, two-wheeler and used vehicles, partially aided by the festive season. However, credit cost in vehicle finance may not materially improve on sequential basis. Growth momentum in Affordable Housing has been intact, aided by distribution augmentation and productivity improvement. Prime housing finance companies could witness a loss of business momentum due to issues in key markets of Karnataka and Telangana. Credit cost across most HFCs should remain moderate with stable or slightly improved delinquent pool and controlled non-performing loans addition. We assess least risk to our current FY25/26 earnings estimates for Muthoot Finance, Bajaj Finance, Home First, Aavas Financiers, Aptus Value Home and Ujjivan Small Finance Bank..Click on the attachment to read the full report:.IT Sector Q3 Results Preview - Seasonality To Weigh On Performance; TCS Gets 'Hold' Among Others By Systematix.DISCLAIMERThis report is authored by an external party. NDTV Profit 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 NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Financials Q3 Results Preview - What's In Store For SFBs, NBFCs, HFCs & Ratings; Read Yes Securities' Analysis

The brokerage assesses least risk to its current FY25/26 earnings estimates for Muthoot Finance, Bajaj Finance, Home First, Aavas Financiers, Aptus Value Home and Ujjivan Small Finance Bank.

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Financials Q3 Results Preview - What's In Store For SFBs, NBFCs, HFCs & Ratings; Read Yes Securities' Analysis

The brokerage assesses least risk to its current FY25/26 earnings estimates for Muthoot Finance, Bajaj Finance, Home First, Aavas Financiers, Aptus Value Home and Ujjivan Small Finance Bank.

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