Description
Established in 2008, HDB Financial Services (HDBFS) is a leading non-banking financial company serving the growing needs of dynamic India. The company serves both retail and commercial customers. It is a significant deposit-taking non-banking financial company (NBFC). This is the business of a well-established company with strong capitalization. The company is accredited with CARE AAA and CRISIL AAA ratings for its bank facilities and long-term loans. It has an A+ rating for its loans and commercial papers, making it a reliable and trustworthy financial institution.
HDB Financial Services deals with loan products targeting first-time borrowers and market segments. The offering includes microloans, asset-backed finance, business loans, consumer loans, and loans against property. HDB is also an active corporate agent of Aditya Birla Sun Life Insurance, HDFC Life Insurance, Tata AIG General Insurance, and HDFC ERGO General Insurance for the sale of their insurance products to HDB customers.
HDB Financial Services has done well and the company’s revenue has increased from Rs 10,944.78 crore. In the financial year 2020-21 Rs. 11,306.29 crore. The growth in the financial year 2021-22 is around 3.3 percent. So, if you are planning to invest in the pre-IPO shares of HDBS Financial Services, you can expect great returns as the company grows. Even if the company gets listed on the stock market, you will get higher returns on investment.
Among financial institutions, HDBFS is India’s leading financial institution with over 1400 branches across 24 states and 3 union territories. The company has gained a great reputation since its inception. Furthermore, the company’s revenue increased from Rs. Rs 2500 crore in 2016. 12500 crore in 2021, so the rapid growth of the company can be seen here. If you’re considering whether to buy HDB Financial Services’ unlisted shares, take a look at its overall revenue model from 2016 to 2021 below.
For FY23, the company’s net interest income reached Rs. 1500 crore, which shows the potential lending capabilities of the company. Moreover, profit after tax (PAT) also witnessed a healthy growth of Rs. 567 crore in 2023, while gross NPA (non-performing assets) declined to 2.48% in June 2023. Despite some ups and downs, the key metrics of asset quality and profitability have seen promising improvement and indicate better growth prospects for the company. There is a high growth opportunity for developing institutions in the Indian market, and HDB will attract a large customer base by the end of 2023.
