DCBB reported a strong earnings performance led by a strong core earnings performance and a softer than expected provisioning. The operating expenses were in-line with estimates. Secular expansion in NIMs continued and was aided by a sharper improvement in yield on advances compared to cost of deposits. DCBB closed the year with a strong 18.5% YoY growth in business with both advances and deposits maintaining a close momentum.
Zensar reported a strong EBITDA margin increase (331bps QoQ), while revenue remained flat (+0.4% QoQ in cc terms). The healthy margin improvement was on account of lower sub-contracting, higher utilization, business mix & better productivity.
Cera delivered an impressive set of numbers for quarter ended Mar’23 with Revenue growth of 20.9% YoY led by robust growth in the Sanitaryware and Faucetware by 18% and 29% respectively. The EBITDA recorded a healthy growth by 29% at ? 114 Cr during Q4FY23 over ? 88.28 Cr in Q3FY23.
CAMS posted in-line revenue at ? 249.2 Cr (up by 2.5% YoY) and the share of non-MF business in revenue rose to 11% in Q4FY23. We are bullish on CAMS due to Market leadership in the duopoly RTA market, four out of the five largest MFs as well as 10 of the 15 largest MFs based on AAUM are their clients.
Federal Bank’s Q4FY23 net profit was 12.2% ahead of our estimates driven mainly by a sequentially sharp decline in non-tax provisions (? 1,167mn, (41%) QoQ). Although the core income growth was strong and in-line with estimates, the stock evoked a strong negative reaction driven by the sharp, 18bps QoQ decline in reported NIMs to 3.31%.
Titan continues to achieve new feat, recording stellar growth in Revenue of 25% YoY (Standalone) at ? 8,553 Cr with a 3 year CAGR growth of 25.1%. The Jewellery segment witnessed a robust Total Income growth by 24% YoY at ? 7,576 Cr along with domestic operations increasing by 21% YoY on the back of strong wedding season with over all high retail sales growth.
Supreme Industries (SIL) has a very strong business model in Plastic products catering to segments spreading across sectors, pioneering in Plastic Piping industry. SIL is strategically expanded its business segments with value added products driving margins where OPM is >17% (~38% sales from value added products in FY23).
Federal Bank’s Q4FY23 net profit was 12.2% ahead of our estimates driven mainly by a sequentially sharp decline in non-tax provisions (? 1,167mn, (41%) QoQ). Although the core income growth was strong and in-line with estimates, the stock evoked a strong negative reaction driven by the sharp, 18bps QoQ decline in reported NIMs to 3.31%.
CIFC surprised yet again on bottomline aided by an in-line performance in disbursals and AUM growth and a stronger earnings performance driven by a sharply lower provisions (28% QoQ decline vs. 50% increase est.) This led to the strong net profit beat. The company management sounded optimistic on delivering growth, especially the new products, which are expected to keep momentum intact in the likelihood of a VF segment slowdown.
Home First Finance has reported a healthy set of numbers portraying steady growth in disbursements at ? 8,691mn as of Q4FY23 (up by 11.4% QoQ) and ? 30,129mn as of FY23 (up by 48.4% YoY) on account of strong execution, leading to an AUM growth by 33.8% YoY and 6.6% QoQ. The PAT stood at ? 640mn as of Q4FY23 and ? 2,283mn as of FY23 supported by stable growth in the NIM at 6.1% and 6.4% respectively.
