HDB Financial Services Ltd

Platform	Last Traded Price	Min Quantity

Strengths & Weaknesses

Strengths

Strong Credit Rating: CRISIL and CARE have assigned the highest rating i.e. AAA.

Strong Parent Company: HDB Financial Services is a subsidiary of HDFC Bank with a stake of 94.64%.

Strong Network: Strong network of over 1,682 branches across 1,144 cities, serving 15.5 million customers.

Strong AUM Growth: Its AUM grew at a CAGR of ~29% to ₹90,235 Cr in FY24

Strong Loan Portfolio: HDB's loan portfolio consists of 76% secured and 24% unsecured loans, as on FY23

Strong Margins: Net Interest Margin (NIM) is 7.9% which is at par with other leadings NBFCs.

Strong Profitability: HDB has an ROE of 19.6% and ROA is at 3%, outperforming most of the competitors.

IPO Imminent: RBI issued a scale-based ranking for NBFCs: base, middle, and upper layers; based on size, activity, and other factors. All upper layer NBFCs including HDB must be listed within three years of classification. HDB is required to list by September 2025.

Weaknesses

No identified weakness

Balance Sheet	FY25	FY24	FY23	FY22	FY21	FY20	FY19
Equity Capital	795.80	793.1	791.4	790.4	789.2	787.6	785.7
Reserves	15,023.90	12,949.6	10,645.6	8,749.3	7,657.1	7,230.2	6,392.8
Total Equity	15,819.70	13,742.7	11,437.0	9,539.7	8,446.2	8,017.8	7,178.5
Borrowings	0	40,504.1	30,637.5	29,471.4	27,832.4	26,223.6	0
Other Non-Current Liabilities	1,047.00	511.2	308.9	242.7	294.3	201.6	1,238.0
Total NC Liabilities	1,047.00	41,015.2	30,946.4	29,714.1	28,126.7	26,425.2	1,238.0
Borrowings	41,928.80	33,831.4	24,227.8	19,501.7	22,569.1	23,580.2	18,095.7
Other Current Liabilities	49,867.80	3,967.2	3,439.2	3,270.4	3,499.0	2,691.3	30,028.2
Total Current Liabilities	91,796.60	37,798.6	27,667.0	22,772.1	26,068.1	26,271.5	48,123.9
Equity + Liabilities	108,663.3	92,556.5	70,050.4	62,025.9	62,641.1	60,714.4	56,540.3
Fixed Assets (incl. WIP)	275.40	511.2	387.1	292.6	316.9	386.0	123.0
Other Non Current Assets	1,619.60	90,197.7	68,626.9	60,460.5	60,981.2	59,384.7	421.7
Total NC Assets	1,895.00	90,708.9	69,014.0	60,753.1	61,298.1	59,770.7	544.7
Trade Receivables	225.20	124.6	65.8	141.8	117.3	181.2	119.5
Cash & Cash Equivalents	984.30	647.9	653.8	684.0	976.4	644.5	334.7
Other Current Assets	105,558.80	1,075.2	316.8	447.0	249.2	118.1	55,541.4
Total Current Assets	106,768.30	1,847.7	1,036.4	1,272.8	1,342.9	943.8	55,995.6
Total Assets	108,663.3	92,556.5	70,050.4	62,025.9	62,641.1	60,714.5	56,540.4

Profit & Loss	FY25	FY24	FY23	FY22	FY21	FY20	FY19
Revenue from Operations	16,300.30	14,171.12	12,402.88	11,306.29	10,944.78	10,756.47	8,724.81
Growth %	15.02%	14.26%	9.70%	3.30%	1.75%	23.29%	0
Operating Expenses	6,787.90	5,857.10	6,151.72	6,534.29	6,453.35	5,100.91	3,605.50
Growth %	15.89%	-4.79%	-5.85%	1.25%	26.51%	41.48%	0
Operating Profit	9,512.40	8,314.02	6,251.16	4,772.00	4,491.43	5,655.56	5,119.31
Op. Profit Margin %	58.36%	58.67%	50.40%	42.21%	41.04%	52.58%	58.68%
Finance Costs	6,390.20	4,864.32	3,511.92	3,325.50	3,882.93	4,081.42	3,333.33
Depreciation	194	145.14	111.84	98.94	107.79	109.66	61.92
Profit Before Tax	2,927.80	3,304.56	2,627.40	1,347.56	500.71	1,464.48	1,724.06
Tax	751.90	843.83	668.05	336.16	109.24	459.63	570.82
Tax %	25.68%	25.54%	25.43%	24.95%	21.82%	31.39%	33.11%
Profit After Tax	2,175.90	2,460.7	1,959.4	1,011.4	391.5	1,004.9	1,153.2
Growth %	-11.58%	25.59%	93.73%	158.36%	-61.04%	-12.87%	0
PAT %	13.35%	17.36%	15.80%	8.95%	3.58%	9.34%	13.22%
Diluted EPS	27.32	31.04	24.78	12.81	4.97	12.78	14.71

Shareholding Pattern

Color	Shareholder	Holding
	HDFC Bank Limited	94.32%
	Others	5.68%

Fundamentals

Quick Insights

Strong Credit Rating: HDB Financial has a 'CRISIL AAA/Stable’ credit rating, indicating the company’s high stability.

Market Cap₹58,887.45 Cr

PE Ratio27.09

EPS₹27.32

Dividend Yield-

Book Value₹198.8 Cr

Debt/Equity2.65

Price/Book3.72

Price/Sales-

Industry PE-

Sales₹16,300.3 Cr

Profit After Tax₹2,175.9 Cr

Share Capital₹795.8 Cr

Shares Outstanding-

ISININE756I01012

SectorFinancial Services

Symbol-

About Company

Established in 2007, HDB Financial Services (HDBFS) is a leading Non-Banking Financial Company (NBFC) serving both individual and business clients across India. With a strong financial foundation, they offer a diverse range of loan options, including secured and unsecured loans. Their extensive network entails over 1680 branches spread across 27 states and 4 Union Territories, making their services accessible to a wide audience. The company has a clear vision and mission for itself which it aims to achieve while uploading the core company values of Integrity, Collaboration, Agility, Respect, Excellence & Simplicity.

Quick Insights

Strong Credit Rating: HDB Financial has a 'CRISIL AAA/Stable’ credit rating, indicating the company’s high stability.

Market Cap₹58,887.45 Cr

PE Ratio27.09

EPS₹27.32

Dividend Yield-

Book Value₹198.8 Cr

Debt/Equity2.65

Price/Book3.72

Price/Sales-

Industry PE-

Sales₹16,300.3 Cr

Profit After Tax₹2,175.9 Cr

Share Capital₹795.8 Cr

Shares Outstanding-

ISININE756I01012

SectorFinancial Services

Symbol-

About Company

Strengths

Strong Credit Rating: CRISIL and CARE have assigned the highest rating i.e. AAA.

Strong Parent Company: HDB Financial Services is a subsidiary of HDFC Bank with a stake of 94.64%.

Strong Network: Strong network of over 1,682 branches across 1,144 cities, serving 15.5 million customers.

Strong AUM Growth: Its AUM grew at a CAGR of ~29% to ₹90,235 Cr in FY24

Strong Loan Portfolio: HDB's loan portfolio consists of 76% secured and 24% unsecured loans, as on FY23

Strong Margins: Net Interest Margin (NIM) is 7.9% which is at par with other leadings NBFCs.

Strong Profitability: HDB has an ROE of 19.6% and ROA is at 3%, outperforming most of the competitors.

Weaknesses

No identified weakness

Annual Reports

FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25

Balance Sheet	FY25	FY24	FY23	FY22	FY21	FY20	FY19
Equity Capital	795.80	793.1	791.4	790.4	789.2	787.6	785.7
Reserves	15,023.90	12,949.6	10,645.6	8,749.3	7,657.1	7,230.2	6,392.8
Total Equity	15,819.70	13,742.7	11,437.0	9,539.7	8,446.2	8,017.8	7,178.5
Borrowings	0	40,504.1	30,637.5	29,471.4	27,832.4	26,223.6	0
Other Non-Current Liabilities	1,047.00	511.2	308.9	242.7	294.3	201.6	1,238.0
Total NC Liabilities	1,047.00	41,015.2	30,946.4	29,714.1	28,126.7	26,425.2	1,238.0
Borrowings	41,928.80	33,831.4	24,227.8	19,501.7	22,569.1	23,580.2	18,095.7
Other Current Liabilities	49,867.80	3,967.2	3,439.2	3,270.4	3,499.0	2,691.3	30,028.2
Total Current Liabilities	91,796.60	37,798.6	27,667.0	22,772.1	26,068.1	26,271.5	48,123.9
Equity + Liabilities	108,663.3	92,556.5	70,050.4	62,025.9	62,641.1	60,714.4	56,540.3
Fixed Assets (incl. WIP)	275.40	511.2	387.1	292.6	316.9	386.0	123.0
Other Non Current Assets	1,619.60	90,197.7	68,626.9	60,460.5	60,981.2	59,384.7	421.7
Total NC Assets	1,895.00	90,708.9	69,014.0	60,753.1	61,298.1	59,770.7	544.7
Trade Receivables	225.20	124.6	65.8	141.8	117.3	181.2	119.5
Cash & Cash Equivalents	984.30	647.9	653.8	684.0	976.4	644.5	334.7
Other Current Assets	105,558.80	1,075.2	316.8	447.0	249.2	118.1	55,541.4
Total Current Assets	106,768.30	1,847.7	1,036.4	1,272.8	1,342.9	943.8	55,995.6
Total Assets	108,663.3	92,556.5	70,050.4	62,025.9	62,641.1	60,714.5	56,540.4

Profit & Loss	FY25	FY24	FY23	FY22	FY21	FY20	FY19
Revenue from Operations	16,300.30	14,171.12	12,402.88	11,306.29	10,944.78	10,756.47	8,724.81
Growth %	15.02%	14.26%	9.70%	3.30%	1.75%	23.29%	0
Operating Expenses	6,787.90	5,857.10	6,151.72	6,534.29	6,453.35	5,100.91	3,605.50
Growth %	15.89%	-4.79%	-5.85%	1.25%	26.51%	41.48%	0
Operating Profit	9,512.40	8,314.02	6,251.16	4,772.00	4,491.43	5,655.56	5,119.31
Op. Profit Margin %	58.36%	58.67%	50.40%	42.21%	41.04%	52.58%	58.68%
Finance Costs	6,390.20	4,864.32	3,511.92	3,325.50	3,882.93	4,081.42	3,333.33
Depreciation	194	145.14	111.84	98.94	107.79	109.66	61.92
Profit Before Tax	2,927.80	3,304.56	2,627.40	1,347.56	500.71	1,464.48	1,724.06
Tax	751.90	843.83	668.05	336.16	109.24	459.63	570.82
Tax %	25.68%	25.54%	25.43%	24.95%	21.82%	31.39%	33.11%
Profit After Tax	2,175.90	2,460.7	1,959.4	1,011.4	391.5	1,004.9	1,153.2
Growth %	-11.58%	25.59%	93.73%	158.36%	-61.04%	-12.87%	0
PAT %	13.35%	17.36%	15.80%	8.95%	3.58%	9.34%	13.22%
Diluted EPS	27.32	31.04	24.78	12.81	4.97	12.78	14.71

Shareholding Pattern

Color	Shareholder	Holding
	HDFC Bank Limited	94.32%
	Others	5.68%

Board of Directors

Mr. Arijit BasuChairman

Mr. G RameshCEO & Managing Director

Mr, Haren ParekhCFO

Ms. Dipti KhandelwalCompany Secretary

Mr. Venkataraman SrinivasanIndependennt Director

Dr. Amla SamantaIndependennt Director

Ms. Arundhati MechIndependennt Director

Mr. Adayapalam VishwanathanIndependennt Director

Senior Management

Mr. G RameshCOO & MD

Mr. Haren ParekhCFO