The problem with the government companies is these kind of Regulations and Control. The margins will definitely hit to some extent but they will be able to reduce some impact by increasing the prices.
AAP leader Satyendar Jain walks out of Tihar Jail, welcomed by party workers, leaders (18-10-2024)
Senior AAP leader Satyendar Jain, arrested in May 2022 on money laundering charges, was released from Tihar Jail after being granted bail due to delays in the trial. Delhi Chief Minister Atishi and other AAP leaders welcomed him, celebrating what they described as a victory of truth.
Liberty under Constitution supersedes PMLA conditions: Delhi court in Satyendar Jain bail order (18-10-2024)
A Delhi court has granted bail to AAP leader Satyendar Jain, citing delays in the trial and his 18-month incarceration. The judge reasoned that constitutional rights under Article 21 take precedence over stringent conditions under the PMLA. Jain must cooperate with investigations and avoid contacting witnesses or traveling abroad without permission.
IDFC First Bank Limited (18-10-2024)
Hi guys
I was reading about what happened to hdfc bank post merger with hdfc ltd.
It struck me that till now I never really bothered what is the business of IDFC limited.
Is it just a holding company? or there are business where need to check any skeleton can pe present which got merged into idfc first balance sheet?
thanks
India decides to ease rice export curbs further (18-10-2024)
High-level inter-ministerial meeting clears scrapping $490/t MEP on white rice, 10% export duty on parboiled rice
IRM Energy – A new kid on the (listed CGD) block (18-10-2024)
Does this impact irm as well? I guess so…
Kirloskar Electric – A Turnaround Bet? (18-10-2024)
To add to that, you’re getting a 80yr old business, a legacy brand, that’s going through some restructuring, and has a product basket with good domestic tailwinds, for a 1200cr market cap.
Yes it’s not hockey stick growth at the moment and a lot remains to be seen. But, that is how turnarounds are and while the journey can be unclear & painful, if executed well, the outcome can be portfolio altering.
Karur Vysya Bank (18-10-2024)
Karur Vysya Bank –
Q2 FY 25 results and concall highlights –
Advances / Loans @ 80.2k cr, up 14 pc YoY
Deposits @ 95.8k cr, up 15 pc YoY
CASA deposits @ 28.3k cr, up 5 pc YoY
NII – 1060 vs 915 cr, up 16 pc
Other income – 472 vs 339 cr, up 39 pc
Operating expenses – 716 vs 616 cr, up 16 pc
Operating profits – 816 vs 638 cr, up 28 pc
Provisions – 180 vs 127 cr, up 42 pc
PBT – 636 vs 511 cr, up 24 pc
PAT – 473 vs 378 cr, up 25 pc
RoA @ 1.72 vs 1.57 pc
RoE @ 17.3 vs 16.5 pc
NIMs @ 4.11 vs 4.07 pc
Spreads @ 3.33 vs 3.32 pc
Cost/Income @ 46.72 vs 49.14 pc
Gross NPAs @ 1.10 pc, down 63 bps
Net NPAs @ 0.28 pc, down 19 bps
PCR @ 96 pc
Breakup of loan book –
Retail – 19.6k cr, up 21 pc YoY
Agri ( more than 90 pc are against gold ) – 18.8k cr, up 16 pc YoY
Corporate ( loans > 25 cr ) – 13.1k cr, down 9 pc YoY
Commercial ( loans < 25 cr ) – 28.7k cr, up 22 pc YoY
Avg ticket size of commercial loans is around 50 lakh. 38 pc of commercial loans are > 5 cr
Avg ticket size of corporate loans around 36 cr. 86 pc of corporate loans are < 150 cr
Slippages for Q2 @ 181 cr vs 155 cr YoY ( well within control )
Recoveries for Q2 @ 100 cr vs 115 cr YoY
Total number of branches @ 841 on 30 Sep 24 vs 799 on 30 Sep 23
Retail loan book growth was primarily driven by mortgages
Deposits growth remains a key priority for the bank. Expecting a 10 bps rise in rate of deposits in Q3
Bank is able to sustain NIMs > 4 pc due better growth in retail, agri segments vs low margin corporate segment
Expecting NIMs in Q3 to be around 4 pc mark ( vs 4.11 pc in Q2 due expectation of moderate increase in rate of deposits and no increase in yield on advances )
Confident of sustaining RoAs @ > 1.65 pc levels for rest of FY
Confident of maintaining the gross slippage ratio below 1 pc for full FY ( in Q2, it was 0.23 pc – not annualised )
Total unsecured book stands @ 2.4 pc ( being very cautious in growing the MFI book )
Bank is de-focussing on the corporate segment because of lower yeilds vs the funds they r raising via term deposits. Once CASA growth comes back, they ll re-focus on their corporate loan book
26 pc of bank’s book consists of Gold Loans ( under Agri + Retail segments )
Textile sector ( in the MSME segment ) in TN area is doing well vs last year
Yeild on Loan against property is around 9.5 pc. Company’s LAP portfolio is majorly concentrated in South India ( TN + Karnataka + AP + Telangana )
Spending aggressively on IT + Cyber Security + New branches. Aim to open 100 branches in current FY
Aim to keep growing the Retail + Agri + MSME book at rates > 18 pc. Achieving this is absolutely critical for the bank as the corporate book is expected to continue to de-grow for some time
Disc: holding, biased, not SEBI registered, not a buy/sell recommendation