The shares of this financial services provider fell up to 5 percent after the company’s net profit and revenue decreased by 32 percent and 2 percent QoQ respectively in the third quarter.
With a market capitalization of Rs 2,562.05 crore, the shares of Indostar Capital Finance Ltd were trading at Rs 206.60 per share, decreasing around 5 percent as compared to the previous closing price of Rs 217 apiece.
Looking into the company’s Performance, Indostar Capital Finance Ltd’s revenue decreased by 2 percent on a quarter-on-quarter basis from Rs. 313 crores in Q2FY24 to Rs. 306 crores in Q3 FY24. Further, revenue increased by 9 percent year on year from Rs. 281 crores in Q3FY23 to Rs.306 crores in Q3FY24.
Indostar Capital Finance Ltd’s net profit decreased by 32 percent on a quarter-on-quarter basis from Rs.25 crore in Q2FY24 to Rs. 17 crore in Q3FY24. Further, net profit decreased by 54 percent yearly from Rs. 37 crore in Q3FY23 to Rs.17 crore in Q3FY24.
Indostar Capital Finance raised Rs 3,967 crore in FY2023, strengthening its liquidity position. As of March 31, 2023, the business has Rs 1,069 crore in cash and cash equivalents. IndoStar’s Asset Liability Management (ALM) profile has dramatically improved over the previous year.
IndoStar has 427 stores in 22 states, including Tier 3 and Tier 4 cities. The organization focuses on Commercial Vehicle Finance and Housing Finance and strives for efficient and labor-saving branch operations.
IndoStar successfully conducted securitization transactions and NCD issuances to maintain a good cash position, involving investments of Rs 849 Crore as of December 31, 2023.
In the most recent fiscal year, Indostar Capital Finance Ltd had a return on equity (ROE) of 7.46 percent and a return on capital employed (ROCE) of 9.15 percent.
Indostar Capital Finance Ltd’s latest ownership pattern shows that the promoters control 75.00 percent, retail shareholders own 21.83 percent, and foreign institutional investors own 1.38 percent.
Indostar Capital Lending Ltd. is an NBFC that offers corporate and retail loans, including commercial vehicle credit, SME lending, and house loan financing.
Written by:- Abhishek Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
