Financials Q4 Results Preview - Sustained Growth Momentum Across Asset Classes: ICICI Securities

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..ICICI Securities Report.Q4 FY24E is likely to be marked by sustained credit demand across products as affordable housing finance companies, small finance banks, non-banking financial companies-micro finance, micro small and medium enterprises are likely to deliver an average of 8% QoQ (ranging 5%-14%) AUM growth. Growth for prime mortgage players (PNB Housing Finance Ltd. and LIC Housing Finance Ltd.) may remain muted at 4% QoQ; affordable housing companies may drive overall growth for HFCs. While strong credit demand would support the top-line, yields pressure owing to competition remains a key challenge, with NIMs likely to further compress by 2-12 basis points QoQ for HFCs. Credit cost for MFIs (including MFI-dominated SFBs) is likely to inch up given some states (Punjab, Haryana, Rajasthan) are witnessing collection challenges; however, back book repricing of MFI book would support NIM for MFIs in Q4 FY24E. Going ahead, MFI yields are likely to remain under pressure as high MFI rates attract RBI’s attention..Click on the attachment to read the full report:.Banks Q4 Preview- Continued Pressure On NII, PAT, But Deposits Growth To Outpace Loan Growth: ICICI Securities.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 Q4 Results Preview - Sustained Growth Momentum Across Asset Classes: ICICI Securities

Yield pressure on housing finance companies to continue; credit cost for MFIs may increase QoQ

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