I think homes loans woud have driven NIM down.
Also, I dont think 14% of tier 1 cap is an issue. It is still sufficienty higher than the reg requirments. So at least not req for a year until when the valuation improves.
Posts tagged Value Pickr
Apcotex Industries – monopoly in Synthetic Rubber? (30-07-2022)
They said the capacity will be ramped up from Q3 onwards.?
IDFC First Bank Limited (30-07-2022)
Sorry but I beg to differ, NIM movements of 40-50bps for the entire book are huge especially on a QoQ basis. Also they have increased FD rates for all maturities so NIM’s might continue to be under pressure.
IDFC First Bank Limited (30-07-2022)
VV said no plan in FY23 in last call.
IDFC First Bank Limited (30-07-2022)
They have reduced saving account interest rates recently. It will mitigate the impact and NIM will grow again. In banks NIM fluctuations of 0.50 % are acceptable and is norm because they have to adjust their book to the RBI policy rates. Once the adjustment done NIM will return to the bank’s targeted levels.
Schaeffler India Ltd (30-07-2022)
Do you think this is a structural trend of companies moving out of China and expanding their manufacturing in India or just temporary tailwind driven by strong infrastructure push world wide ?
IDFC First Bank Limited (30-07-2022)
Rerating time, Mr Market
IDFC First Bank Limited (30-07-2022)
Three important questions-
There is no mention of the Covid Provision of Rs 165cr anywhere, either in the presentation or the press release. Has this been utilized entirely? If that is the case then provisions are optically lower by 165cr and Net Profits higher by 165cr.
Below is from Q4FY22 Press Release, can’t find it in Q1FY23-
Secondly why have NIM’s fallen by 36bps QoQ? That is a huge amount and much of it seems to be due to the increase in interes costs. Will they keep falling going forward?
Thirdly, Tier 1 Ratio is down to 14%. When do they plan to raise Tier 1 Capital?
Tanla Platforms ~ Leading player in the fast-growing CPaaS market (30-07-2022)
The only red flag I see in Tanla is the drop in Gross Margins in the Enterprise business. Don’t have a satisfactory answer for the 630 basis point decline. Whatever is impact due to platform migration is clearly one time. Large bank related business impact will finish by Q2. Question is how much of the 630 basis points these 2 items account for and what about the balance? Is balance going to be lost for the foreseeable future? Management did not give an answer on the call. They tried to explain with respect to 4.5% EBITDA variation, which is not fair. Part of EBITDA are already made up by increase in enterprise margins and possible reduction in salary/other expenses. They need to explain clearly the variance for this gross margin of enterprise business and for us to understand what part of loss of gross margin is permanent and what is one off.
Anyone who can communicate with company should raise this question. Rest is all noise.
Suven Pharma ~ Demerged CRAMS Arm of Suven Life Sciences (30-07-2022)
Casper pharma facility inspection completed.
Thanks to @T11 for detwiled AR notes.
Suven of future is likely going to look very different from past.
- Higher formulations sales, with assured supplies from Casper this becomes a straight add on with visibility, ramp up may take some time.
- With forward and backward integration – directionally seems very customer(s) specific approach but does make them one stop shop with KSM to API to formulations. It may be based on assurance of customers ( similar construct as Casper supplies)
- High margins and mderate growth to relatively higher growth ( relatively) and realtively lower margins butbztill likely industry leading( mix changes) – again this is assumption and markets like growth. Until Mr Jatsi or Numbers says it – its logical speculation.
- Replacement capex nearly behind them – this is a sort of hangover which didnt translate into equivalent growth capex – at least perception.
If we were to observe Mr Jatsi, he comes across as science passion( suven life a case in point) with strong delivery capability – though doesnt like/ can’t do much about uncertainties in small biotech segment demand pattern, which is out of his control.
Give him longer running programs, offtake assurance for clients which requires strong delivery/science capabilities – he will likely get this done. In earlier avtaar Suven had dependency on small size innovators, which leads lower visibility hence conservative guidance.
Going forward Casper scaling + client assurance backed Fwd and Bwd integrated programs( unclear at molecules focus at this point, but some hints on client lens apprach per AR)+ post covid era stability for small biotech demand normalizing + Spec chem molecules, all of it seems a logical multi engine growth + diversification in a way, hopefully a stronger growth setup construct.
Invested