Global brokerage sees 42% upside in LT Finance despite dip in Q2 profit, here#39;s why
- Date: 21-Oct-2021
- Source: Money Control
- Sector:Financial Markets
- Country:Middle East
Global brokerage sees 42% upside in LT Finance despite dip in Q2 profit, here#39;s why
Goldman Sachs has tweaked EPS estimates by an average of -1% over FY22-24. L&T Finance can generate 2.9% RoA/14.5% RoE by FY24, the research firm added.
October 21, 2021 / 10:26 AM IST
L&T Finance Holdings share price was trading over 4 percent lower in the morning session on October 21, a day after the non-banking financial company reported a 10 percent decline in consolidated net profit to Rs 223 crore for the second quarter ended September 2021.
L&T Finance Holdings posted a net profit of Rs 248 crore in the corresponding period of the previous financial year. Its total income during July-September 2021 fell to Rs 3,134.46 crore as against Rs 3,508.91 crore in the year-ago period, LTFH said in a regulatory filing.
Among the market leaders in farm equipment finance, two-wheeler finance and micro loans, the firm said it witnessed the highest-ever disbursement in rural finance during the quarter, while retail disbursements grew 55 percent quarter-on-quarter.
All LTFH businesses witnessed robust disbursement momentum. Rural finance business saw the highest-ever Q2 disbursement at Rs 4,987 crore, a jump of 51 percent quarter-on-quarter, it said.
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The stock was trading at Rs 87.30, down