HDBFS is a prominent non-banking financial company which caters to the aspirations of a growing India, serving both retail and commercial clients. An important Systemically Non-Deposit taking Non-Banking Financial Company(‘NBFC”). Established in 2008, they are a well-capitalized, solid business. HDBFS has obtained CARE AAA & CRISIL AAA ratings for long-term debt & Bank facilities and now A1+ for short-term debt & commercial papers, making it a strong and reliable bank.
Products of the Company:
The current product portfolio can be categorized in three segments: Loans, Fee-based products, and BPO services.
Consumer Loans: The Company provides White loans (Washing Machine and Refrigerator), Brown loans (such as televisions, audio equipment, and similar household appliances, etc.), and digital products (such as Mobile Phones, Computer, and Laptops). The company shall also provide any kind of loan for household purposes.
The Consumer Loans Portfolio consists of: Gold loan, Durable Consumer loan, Auto loans, Personal loans, and Loan against MFs. Enterprise Loans refer to small and medium enterprise funding for either working capital, bidding for a new bid, or setting up a new plant. This company provides secured and unsecured loans to the SMEs.
Asset Finance: It provides for the loan to purchase a new to old vehicle or the vehicles that produce income for the borrowers, such as Truck, Tractors, etc.
Fee-Based Products: Corporate Insurance Agents registered within the Company’s ambit are to contact clients appraising loans in Personal Life and HDFC General.
BPO Service Collection Service: HDFC bank has contracted with the company to collect dues from borrowers. The collection service sets up 15 call centers across the country with a capacity of 5000 seats
Fundamental
Per Equity Share
Financial
P&L Statement
| P&L Statement | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Interest Earned | 8478 | 8362 | 8928 | 11157 |
| Other Income | 2507 | 2944 | 3475 | 3014 |
| Interest Expended | 3882 | 3325 | 3512 | 4864 |
| Operating Expenses | 3383 | 4068 | 4933 | 4790 |
| Provisions and contingencies | 3068 | 2465 | 1330 | 1067 |
| PAT | 378 | 1011 | 1959 | 2461 |
| eps | 4.79 | 12.79 | 24.75 | 31.03 |
| Gross NPA | 4.4 | 4.99 | 2.73 | 1.9 |
| Net NPA | 3.05 | 2.29 | 2.72 | 1.9 |
| Financial Ratios | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Advances | 58601 | 57162 | 66383 | 86721 |
| Book Value | 107.02 | 120.69 | 144.51 | 173.27 |
| P / B | 6.77 | 6.01 | 4.57 | 6.9 |
| ROE (%) | 4.48 | 10.6 | 17.13 | 17.91 |
Balance Sheet
| Assets | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Fixed Assets | 91 | 78 | 122 | 162 |
| Cash and Balances | 975 | 683 | 654 | 703 |
| Investments | 1592 | 2233 | 1243 | 3380 |
| Advances | 58601 | 57162 | 66383 | 86721 |
| Other Assets | 4040 | 1869 | 1648 | 1590 |
| Total Assets | 65299 | 62025 | 70050 | 92556 |
| Liabilities | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Share Capital | 789.19 | 790.44 | 791.4 | 793.1 |
| FV | 10 | 10 | 10 | 10 |
| Reserves | 7657 | 8749 | 10645.5 | 12949 |
| Borrowings | 46371 | 44833 | 51324 | 68682 |
| Deposits | 0 | 0 | 0 | 0 |
| Other Liabilities | 7814 | 7643 | 7289.1 | 10131.9 |
| Total Liabilities | 62641.19 | 62025.44 | 70050 | 92556 |
Cash-Flow Statement
| Cash-Flow Statement | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| PBT (%) | 500 | 1347 | 2627 | 3305 |
| OPBWC | -984 | -1074 | -1382 | -1820 |
| Term Deposit | 0 | 0 | 0 | 0 |
| Change in Investment | -65 | -47 | 0 | 0 |
| Change in Advances | -4482 | -1016 | -10463 | -21406 |
| Change in Deposit | 0 | 0 | 0 | 0 |
| Other Changes | 5009 | 3580 | 4361 | 7240 |
| Working Capital Change | 462 | 2517 | -6102 | -14166 |
| Cash Generated From Operations | -522 | 1443 | -7484 | -15986 |
| Tax | -180 | -514 | -633 | 750 |
| Cash Flow From Operations | -342 | 1957 | -6851 | -16736 |
| Purchase of PPE | -24 | -41 | -111 | -123 |
| Sale of PPE | 0.38 | 1.27 | 1.5 | 1 |
| Purchase of Investment | -15557 | -24583 | -49267 | -52917 |
| Sale of investments | 15713 | 23920 | 50350 | 50894 |
| Others | -1 | -1 | 0 | 0 |
| Cash flow from Investment | 131.38 | -703.73 | 973.5 | -2145 |
| Proceeds from Borrowing | 19850 | 17676 | 17208 | 29911 |
| Repayment of Borrowing | -19573 | -19300 | -12507 | -20307 |
| Dividend | 0 | 0 | -150 | -254 |
| Proceeds from Equity | 36 | 37.89 | 0 | 71 |
| Others From Financing | 295 | 87 | 1245 | 9712 |
| Cash Flow from Financing | 608 | -1499.11 | 5796 | 19133 |
| Net Cash Generated | 397.38 | -245.84 | -81.5 | 252 |
| Cash at the Start | 356 | 753 | 477 | 396 |
| Cash at the End | 753.38 | 507.16 | 395.5 | 648 |
