LIC Housing Finance Q4 Review - Healthy Quarter But Loan Growth Below Our Expectation: Motilal Oswal

BQ Prime’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 BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.LIC Housing Finance Ltd. reported a second consecutive quarter with no unpleasant surprises on margins, operating expenses or asset quality.Even though the disbursements (down 14% YoY in Q4 FY22) and loan growth (up ~8% YoY) were a touch below our expectations, we highlight the following positives in Q4 FY22: net interest margin improved ~23 basis point QoQ to ~2.65% aided by ~20 bps improvement in cost of funds, andreduction of ~110 bps QoQ in the 30 plus days past due that led to lower credit costs of ~30 bps (versus ~60 bps QoQ). We believe that with its strong liability franchise, LIC Housing Finance will be able to deliver healthy net interest margin of ~2.3% and return on asset/return on equity of 1.1%/11% in FY23E..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime 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 BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

LIC Housing Finance Q4 Review - Healthy Quarter But Loan Growth Below Our Expectation: Motilal Oswal

LIC Housing Finance Q4 Review - Healthy Quarter But Loan Growth Below Our Expectation: Motilal Oswal

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