Emkay Broker Research reports

We retain our positive stance on HUL, despite a sub-par financial performance and muted near-term demand outlook. Medium term, we see HUL’s enhanced execution absorbing the impact of macro stress (if it persists).

LTF delivered an in-line performance in Q3FY25, in terms of AUM growth, PAT, and credit cost. However, ongoing stress in the MFI segment is expected to keep near-term asset growth below the targeted growth of 25%.

In a recent interview in Davos with CNBC TV18 (refer to link), Sudarshan Venu, MD, TVS Motor highlighted that: i) The 2W industry demand is recovering strongly in the initial 3 weeks of Jan25, with resumption in government capex which sets a positive tone for CY25/FY26

Dixon’s Q3 revenue grew 117% YoY to Rs104.5bn (down 9% QoQ, on seasonality), with margin stable QoQ at 3.7%; growth continued to be led by the Mobile & EMS segment (84% of 9M sales), with segment margin up by ~20bps QoQ. Backed by its strong order book, Dixon expects near double smartphone volume at ~60mn units in FY27E vs ~30mn in FY25E which would thus address ~60-65% of the outsourced opportunity

Karur Vysya Bank (KVB) continues to report a robust performance, with PAT at Rs4.9bn and peer-best RoA at ~1.7%, which the bank guides to uphold, aided by healthy operating profitability and contained credit cost.

J&J, in a recent investor interaction, had stated that its oral IL-23 receptor antagonist peptide (Icotrokinra) could potentially compete with existing oral as well as injectable treatment options for moderate to severe plaque psoriasis.

Paytm posted lower EBITDA (before ESOP) loss at Rs0.4bn vs (Emkay: Rs0.7bn), mainly due to better lending revenue (even adjusted for the higher DLG cost) and continued cost optimization measures.

Zomato logged a mixed performance in Q3FY25 – Revenue grew 12.6% QoQ, in line with our estimate, led by the Quick Commerce (QC), Hyperpure, and Going Out. Food Delivery growth was muted, with GOV growing only 2.3% QoQ, largely attributed to broad-based slowdown from mid Nov. Blinkit’s GOV surged 27.2% QoQ, continuing on the strong growth path.

ICICIGI reported a strong performance for Q3FY25, wherein GWP at Rs64.7bn (+0.6% YoY), impacted by the 1/n regulation, came in 0.9% lower than our estimate; however, combined ratio at 102.7% was significantly lower than our estimate of 103.9%, driving PAT of Rs7.2bn (+68% YoY) and beating our estimate by 12.4%.

We upgrade SBI Life to BUY from Add with revised up Dec-25E TP of Rs1,850, implying FY26E P/EV of 2.3x. SBI Life delivered an impressive performance in Q3FY25 with growth rebound in the banca channel (10% YoY in Q3 vs 7% in H1), which led to Retail APE growth of 13% in Q3 on a strong base of last year, and VNB margins for the quarter coming in at 26.95% vs 26.86% of 9M despite implementation of the new surrender regulations.