BHAFIN reported 2QFY18 PAT of INR1.2b (3% miss), driven by a healthy uptick in net income (+4% beat), offset by higher-than-expected credit costs. We believe that a post-demonetization recovery is taking root, and is likely to continue in the coming quarters. AUM grew 17% YoY to INR106b, reflecting an upward trajectory for the second consecutive quarter. This, coupled with the fact that active borrowers Financials & Valuations (INR m)...