We maintain our NEUTRAL stance with a TP of Rs 160 (2.25x Sept'19E ABV). Equitas 2QFY18 performance came in largely in-line with our expectations. The loan book grew by 4.1% QoQ (3.5% YoY), as the company continued to focus on the Non-MF (secured) book. The share of the MFI book further declined to 36% from 42% in 1QFY18. Collection efficiency of the MF book stood at 94.6%. Operating cost declined 4% QoQ.