Stockrabit · Analysts
Questions across 3 calls

Suresh Ganapathy

Macquarie Research

Cholamandalam Investment and Finance Company Limited

Cholamandalam Investment and Finance Company Limited CC-Dec23.pdf · 2024-01-29
So, two questions. One is from the growth itself, right? I mean, we have had some slower disbursement growth in the personal loan segment and 4% Q -o-Q is the overall growth that we have seen on disbursement. Because in the base effect which has given you a 40% AUM growth, how do you look at growth for FY '25? Because we are hearing that banks are cutting down their credit lines to the NBFCs. We still have a large dependence on banks. So, have they increased rates? Have they withdrawn some credit lines or restricted and consequently, what is the outlook for growth for FY '25?
Direction. Just the directions you can give. Yes.

HDFC Bank Limited

HDFC Bank Limited CC-Dec23.pdf · 2024-01-16
Srini, so just to understand what is going to drive your margi ns in the future. Because if I look at it this quarter, you have sold off INR50,000 crores, your LCR is at 110%, you can't go below that. There is no excess liquidity assets at 110% LCR, right, and funding costs may remain elevated. So when you are saying I want to go from 3.4% to 3.7%, incremental CASA mobilization is getting to be a challenge. Term deposit growth is high. Your HDFC Limited borrowings are sitting there at 70-odd percent. So deposit growth is looks difficult to meet your own loan growth requirements. When are you going to replace the eHDFC Limited liabilities. So amidst all these challenges, what will drive your margins, say, from 3.4% to 3.7%, say, over the course of next 18 to 24 months? Will it be yield on loans? Because it doesn't look like it can go through cost of funds? That's the first question. If you can elaborate the movement in margins. Some indication as to what will be the components and how are you going to manage the eHDFC Limited liability replacement with deposits, point number one? And the second thing is, 1,500 branches doesn't look like it's happening this year because we have only opened 290 branches -- sorry, 270 this year. So going to fall short of your 1,500 branches target by a wide margin. What is the thought process there? Over to you, Srini.
Okay. And just one final question on cost saving. You guys have said you will bring down from 40% to 35% over the course of next five yea rs. I know it's a long journey, the fact that you're opening lower number of branches. Can we get to see some benefits, not quantifying, but some benefits in that reduction next year FY'25? At least there has to be a journey in that 500-basis point reduction, right? So we were at 40.4 -- I don't know, last quarter, and we are at 40.2 or something like that, I mean, around the same range. So, do you think it can really come down in the next one year or so? Sorry. Thanks. It's the last question.

HDFC Life Insurance Company Limited

HDFC Life Insurance Company Limited CC-Dec23.pdf · 2024-01-12
The first question is on growth and margins itself, Vibha. At the start of the year, you mentioned a 15% guidance and the actual outcome unfortunately has been well short of that. So far 9-month number has just been 5%. I know the smaller ticket size policies have done well but the shear contribution of the larger ticket size, you're confident that post we exit FY24 with the revised guidelines on surrender charges, we can get back with the mojo of getting 15% APE growth and perhaps VNB growth. What gives you the confidence there?
But the problem Vibha is that peers have done better than you. It is pretty rare for you guys not to outperform your peers. This is the first time perhaps in history where you are underperforming the peers by a wide margin. Everybody is in the same boat when it comes to all these challenges with respect to high product ticket sizes.