Home First Finance Company India announced FY23 results: Total Income at Rs 796 crore; YoY growth of 33.6% PPOP stands at Rs 317 crore, a growth of 26.0% on a YoY basis Adjusted PAT at Rs 228 crore, up by 31.1% from Rs 174 crore in FY22 Total CRAR at 49.4%. Tier I capital stands at 48.9% as on Mar’23 Networth as on Mar’23 is at Rs 1,817 crore vs Rs 1,574 crore as on Mar’22 Spread on loans stood at 5.7% in FY23, increase of 10bps over FY22 Total borrowings including debt securities are at Rs 4,814 crore as on Mar’23 up from Rs 3,467 crore on Mar’22. The company continues to carry liquidity of Rs 1,802 crore on Mar’23 Cost of borrowings at 7.4% in FY23, increased by 20 bps compared to 7.2% in FY22 Asset under Management (AUM) of Rs 7,198 crore, growth of 33.8% over Mar’22 Yearly disbursements of Rs 3,013 crore FY23, YoY growth of 48.4% Commenting on the performance Manoj Viswanathan, MD & CEO said, “FY23 year was a year of several notable milestones for the ccompany. We can now take pride in having served 1,00,000 customers since inception with total housing loans disbursed in excess of 10,000 crore. Our physical branch office distribution crossed 100 branches (111 branches as of 31 Mar, 2023) and disbursed more than Rs 3,000 crore in this financial year which is the highest ever since the commencement of business. This year also saw the entry of International Finance Corporation (a member of World Bank Group) as a lending partner to the Company with the issue of NCDs aggregating to Rs 280 Cr. We also received a “low risk” ESG rating from Morningstar’s Sustainalytics, a testament to our best-in-class business practices. We continue to expand our distribution in large affordable housing markets in States where we are already present, going deeper in a contiguous manner. We now do business across 265 touchpoints (an increase of 65 from Mar’22 levels) across Tier 1, Tier 2 and Tier 3 markets in 13 states/ UT. HomeFirst’s disbursals momentum increased from Rs 2,031 in FY22 to Rs 3,013 crore in FY23, another high for HomeFirst, leading to AUM growth of 33.8% from Rs 5,380 crore to Rs 7198 crore. Our focus on early bucket collections has further progressed in FY23. 1+ DPD improved from 5.3% to 4.0% on YoY basis. 30+ DPD improved from 3.7% to 2.7% on YoY basis. Gross Stage 3 (GNPA) as per RBI circular dated 12 Nov 2021, improved from 2.3% to 1.6% on YoY basis. Prior to such classification, it stands at 0.9% (Mar’22: 1.3%). Digital adoption has further improved. 93% of our customers are registered on our app as on Mar’23 compared to 91% in Dec’22 & 80% in Mar’22. Unique User Logins improved from 54% in Q4FY22 to 57% in Q4FY23. Service requests raised on app have improved from 83% to 91% on a YoY basis. During FY23, Profit After Tax increased by 31% from Rs 174 crore to Rs 228 crore. ROE improved sharply by 170 bps to 13.5% in FY23 over FY22’s 11.8%. Q4FY23 witnessed ROE of 14.4% vs 12.5% for Q4FY22. Improvement in ROE was backed by strong NIMs (6.4% vs 5.4% YoY), optimal use of cash and judicious operating costs. We believe ROE’s can improve further as we scale and operating leverage benefits continue to flow through. Overall, FY23 was a very good year and we look forward to an even better FY24 given the tailwinds of the housing sector supported by overall economic growth momentum and strong execution mindset of the company. We will continue to deliver excellent results while staying true to our mission of being the 'Fastest Provider of Home Finance for the Aspiring Middle Class, delivered with Ease and Transparency' ". Result PDF
Home First Finance Company India announced Q2FY23 results: Q2 FY23 Total Income at Rs 189 crore; YoY growth of 29.6% from Rs 146 crore in Q2 FY22, sequential increase of 11.8% over Q1 FY23 of Rs 169 Crs. PPOP stands at Rs 74 crore, growth of 6.0% on QoQ basis and 24.3% on YoY basis. Q2FY23 PAT at Rs 54 crore, up by 5.9% from Rs 51 crore in Q1 FY23 and by 25.9% from Rs 43 crore in Q2 FY22. Q2 FY23 ROA at 3.8% improved by 10 bps on YoY basis and decline of 10 bps on QoQ basis. Commenting on the performance Mr.Manoj Viswanathan, MD & CEO said: “Q2FY23 also saw the momentum continuing on disbursements. We disbursed Rs 702 crore which grew by 36.3% on YoY basis and 6.2% on QoQ basis, witnessed another high for HomeFirst. AUM at Rs 6,275 crore, grew by 7.6% on QoQ and 35.9% on YoY basis. PAT grew by 25.9% on YoY basis In continuation of our strategy to expand distribution in large affordable housing markets, we have achieved another milestone in our journey by opening 100th physical branch in Nagpur city. Overall, we added 8 physical branches in the quarter, closing the quarter with 101 branches. As of today we do business from 249 touchpoints During the quarter, we have signed another Co-lending agreement with Central Bank of India. On Colending business, we executed a transaction of INR 166 Mn during the quarter and believe this will pickup momentum in the medium term. We continue to focus on broadening our fund sources with a competitive cost of borrowing, thereby holding our spreads. Amidst the rising interest rate scenario, we have added 2 new banks i.e. Karnataka Bank and Yes Bank. Improvement in asset quality continues across all buckets. 1+ DPD improved from 5.0% to 4.7% on QoQ basis and 30+ DPD improved from 3.5% to 3.3% on QoQ basis. Our Gross Stage 3 (GNPA) as per RBI circular dated November 12, 2021, improved from 2.1% to 1.9% on QoQ basis. Prior to such classification, it stands at 1.1% (March 2022: 1.3%). During Q2FY23, our PAT at Rs 54 crore witnessed growth of 25.9% on YoY basis and ROE improved by 30 bps to 13.1% over Q1FY23. Digital adoption has further improved. Usage of the customer app for various activities has increased. 87% of our customers are registered on our app as on September 2022 compared to 84% in June 2022 and Unique User Logins have also seen increase from 54% of our customers in Q1 FY23 to 57% in Q2 FY23. Overall, Q2 FY23 was a good quarter and within our expectation. With the tailwinds of the sector coupled with overall economic growth and a strong execution mindset, we will continue to deliver excellent results while staying true to our mission of being the Fastest Provider of Home Finance for the Aspiring Middle Class, delivered with Ease and Transparency." Result PDF