Q3 FY21 Results First Cut - Can Fin Homes - YES Securities

- Marginal NII/NIM beat despite aggressive pricing corrections taken in Q3 - NII came at Rs2.14bn v/s our expectation of Rs2.1bn

- Funding cost was 8% lower qoq suggesting seminal fall in cost of borrowing and sustained funding tailwinds

- Employee cost stood higher than even pre-Covid levels (up 39% yoy) - probably manifesting the changes being done in branch operations and credit (we have picked this from ex-employees)

- Negligible provisions indicative of lower-than-expected NPL flow and restructuring, and smaller increase in non-NPL delinquent pool (30-90 dpd)

- Co. continues to hold provision buffer (was not utilized during Q3) of Rs0.73bn, 35 bps of loan book

Shares of CAN FIN HOMES LTD. was last trading in BSE at Rs.478 as compared to the previous close of Rs. 481.7. The total number of shares traded during the day was 57507 in over 3077 trades.

The stock hit an intraday high of Rs. 502.95 and intraday low of 455.3. The net turnover during the day was Rs. 27466033.

Source : Equity Bulls

Keywords