Some points which i could capture from the conf call as below :-
Cost to Income Ratio 14.6 compared to 14.96 in Q1. - There is scope for improvement.
Operating Environment -
Salaried Class : 70%
Non- Salaried : 30%
See huge opportunity in non-salaried class(SME etc)
Affordable housing is the key growth driver. LIG and MIG-1 should be the driving force.
Majority of their customers are first time buyers.
Supply side issues are there but demand is huge
Rights Issue -
Waiting for opportune time to initiate rights issue.
Positive Impact of RERA will be hugely positive. Q3 and Q4 would show more growth.
FY19 and FY20 would be the best years for any housing finance company.
17000cr for full year - outlook , is that feasible?
Post Q3 they would be in a position to be able to see if 17000cr can be achieved. Appears to be a bit difficult to achieve but thats their guidance.
Repayment schedule not an issue.
Can fin portfolio preferred portfolio for poaching.
Competition there from banking space. Banks got better cost advantage due to CASA. But can fin operate in a segment where banks do not target.
Pst GST Impact - GST still in nascent stage. Will be advantageous in long run.
Margins - both salaried and non salaried class has similar margins.
Incremental portfolio share of non salaried gradually increasing. Salaried class seem to be waiting for RERA clarifications and regulations. Going forward in second half year they believe the growth should be driven by Salaried class.
35000cr loan book vision by FY20 - how to achieve -
This is a vision set in FY14. Many things have changed . They currently are looking year or year guidance. This year guidance of 17000cr is still applicable.
Big players coming to affordable space. If supply side issue is addressed, demand is huge.
Post demonitization is the reason for increase in NPA. Asset quality is their forte. They think their NPA is still best in industry.They will not compromise on asset quality to achieve they growth targets.