Downgrades

Revenue came in at INR 5,796 Mn, up 22.6% YoY (+13.0% QoQ), driven by robust demand for the HPPC segment. Q4FY25 revenue came broadly in line with our estimates.

ACC reported strong topline performance for Q4FY25, revenue at INR 60,665 Mn, up 12.2% YoY (+14.7% QoQ), which was above our estimates by 16.7%, driven by sharp uptick in volume growth at 14.4% YoY (+11.2% QoQ) and higher premium product mix.

NII for Q4FY25 grew 22.4% YoY (+4.5% QoQ) to INR 98,072 Mn., which was below our estimates by 3.4%. PPOP stood at INR 79,675 Mn., up 24.3% YoY (+2.1% QoQ), which was below our estimates by 6.0%, led by weaker NII growth and higher other opex. PAT stood at INR 45,456 Mn., up 18.9% YoY (+5.5% QoQ), below our estimates led by higher provisions.

Net Interest Income (NII) for Q4FY25 stood at INR 30,557 Mn., up 29.8% YoY (+5.8% QoQ), led by strong business momentum and improved yields on loans. NII surpassed our estimates by 1.1%.
PPOP came in at INR 23,315 Mn., up 43.2% YoY (+9.6% QoQ). PPOP surpassed our estimates by 12.6%, led by slower growth in employee expense, while sequential decline in other operating expenses. PAT stood at INR 12,667 Mn., up 19.7% YoY (+16.6% QoQ).

We maintain our BUY recommendation on the stock.

GPL’s pre-sales volume for 4QFY25 declined 8% YoY (+85% QoQ) to 7.5msf, resulting in the highest-ever quarterly pre-sales value of INR101.6b (+7% YoY/87% QoQ, 32% above estimates). In FY25, pre-sales were up 31% YoY to INR294b (9% above estimates and 9% above guidance).

Avenue Supermarts (DMART) posted weak results in 4QFY25 as standalone EBITDA inched up 4% YoY (9% miss) due to weaker gross margin (GM; -25bp YoY) and higher cost of retailing (CoR; opex up 12% YoY on a per sqft basis).

State Bank of India (SBIN) reported a 4QFY25 PAT of INR186.4b (in line) with robust treasury gains offsetting higher opex and provisions. NII grew 3% YoY to INR427.7b (in line). NIM stood at 3.0% (1bp QoQ dip) with domestic NIM holding stable at 3.15%.