HDB Financial Services Unlisted Share Prices
HDB Financial Services Ltd.
INE756I01012
Listing Status: DRHP Filed
About HDB Financial Services Unlisted Share Prices
Overview of HDB Financial Services Unlisted Share Prices
- HDB Financial Services (HDBFS) is an NBFC offering financial products and services across enterprise lending, asset financing and consumer loans.
- HDBFS was incorporated in 2007 and commenced its lending operations in 2008.
- It has 1492 branches across 1054 cities in 24 States & 3 Union Territories.
- HDBFS is one of the 15 NBFCs falling in the Upper Layer under Scale Based Regulation for NBFCs for 2023-24.
- HDFC Bank, India's largest private sector bank, owns 94.8% of the stake in HDBFS.
HDBFS is accredited with CARE-AAA & CRISIL-AAA ratings for its long-term debt & bank facilities and an A1+ rating for its short-term debt & commercial papers, making it a reliable financial institution. Learn more about HDB Financial 9 Months FY24 Results
Business Segments: A Snapshot
Business Segments: A deep dive
Loan Products: Customer Loans | Enterprise Lending | Asset Financing
Customer Loan Options |
Description |
Consumer Durable Loans |
Appliance Financing: Washing machines, refrigerators |
Digital Product Loans |
Electronics: Smartphones, laptops |
Lifestyle Product Loans |
High-End Purchases: Luxury furniture, designer kitchen appliances |
Personal Loans |
Flexible Urgent Finance: Wedding expenses, vacation costs |
Auto Loans |
Vehicle Financing: New or used cars |
Two-Wheeler Loans |
Scooters, motorbikes |
Gold Loans |
Quick Gold-backed Loans |
Enterprise Lending
Unsecured Business Loan |
Enterprise Business Loan |
Loan Against Property |
Loan Against Lease Rental |
Loan Against Securities |
Asset Financing
Commercial Vehicle Loans |
Construction Equipment loans |
Tractor Loans |
BPO Services: HDBFS offers various BPO services including collection call centres, sales support,
back-office operations, and processing support.
- Collection Services: HDBFS operates call centres for HDFC Bank, providing end-to-end services across 700 locations via on-call and field support teams. Additionally, they have 18 call centres and 5,500 seat capacity nationwide.
- Back Office and Sales Support: HDBFS provides services such as forms processing, document verification, finance and accounting operations, and processing support for HDFC Bank.
Micro-Lending: HDBFS offers micro-loans through the Joint Liability Groups (JLG) model. Since 2019, HDBFS has offered micro-loans in 67 districts across seven states: Maharashtra, Bihar, Rajasthan, Gujarat, Madhya Pradesh, Uttar Pradesh, and Odisha.
Fee-based Products/Insurance Services:
- HDBFS, licensed by IRDAI (Insurance Regulatory & Development Authority of India), is a registered Corporate Insurance Agent, offering Life and General insurance products.
- It collaborates with HDFC Life Insurance Co., Aditya Birla Sun Life Insurance, HDFC Ergo General Insurance Co., and Tata AIG General Insurance Co., for ensuring comprehensive insurance services.
Digital Lending Journey
HDBFS has embraced digital lending to cater to the evolving credit needs of tech-savvy customers. Through Digital Loans, Partnerships With Fintech Players, E-NACH & E-Sign, and Free online Credit Reports, HDBFS offers convenient and innovative solutions, simplifying the borrowing process for customers.
Customer Service Digital Channels:
- HDB On-the-Go App
- WhatsApp Account Management | Missed Call Service | Relationship Management
- Customer Service Bot
- Online Customer Portal
Key Initiatives:
- Digital Pre-Approved Offers: Instant loans for eligible customers.
- Aabhaar Card: Loyalty cards for streamlined benefits.
- Jiffy loan: Quick personal loans through digital process | Disbursed in 2 hours.
- WhatsApp Loan Application: Instant loan applications via WhatsApp.
Segment Wise Performance
All values in INR - Crs.
Business Segment |
Revenue - FY22 |
Revenue - FY23 |
Revenue - FY24 |
Growth |
Lending Business |
8,943 |
9,769 |
12221 |
25% |
BPO Services Division |
2,363 |
2,634 |
1949 |
-26% |
Insights of HDB Financial Services Unlisted Share Prices
Financial Highlights
All Values in INR – Crs. (Approx.)
Particulars |
FY24 |
FY23 |
FY22 |
Total Income |
14171 |
12402 |
11306 |
Net Interest Income |
11156 |
8928 |
8363 |
PAT |
2460 |
1970 |
1025 |
Net Profit Margin |
17% |
16% |
9% |
EPS |
31.08 |
24.78 |
12.8 |
Improvement in Business Volumes & Profitability Metrics:
- Strong Growth in Disbursements: HDBFS witnessed a remarkable 42% Y-o-Y growth in disbursements during FY23.
- AUM: ₹70,084 - FY23 |₹61,444 Crs. - FY22 | ₹73,610 Crs. as of June 30, 2023.
- Total Income Growth: 14% in FY24 | 10% in FY23 Y-o-Y.
- PAT Growth: 24% in FY24 | 92% in FY23 Y-o-Y.
- Expansion in Branch Network: HDBFS expanded its presence by increasing its branches from 1,374 in FY22, to 1,492 IN FY23.
- Improvement in Return Metrics: ROTA increased to 3.01% during FY23 from 1.65% during FY22
- GNPA - 2.73% in FY23 | 4.99% FY22.
- NNPA - 1.01% in FY23 | 2.45% in FY22.
Industry Overview
Relevance of NBFCs in the Indian landscape:
NBFCs have emerged as a significant force in promoting financial inclusion in India by successfully catering to the underserved segments of society.
The growing market share of NBFCs can be attributed to the lighter and more flexible regulations imposed by the RBI and their focus on specific sectors and niche markets.
Highlights
- As of September 2023, NBFCs in the country have disbursed loans amounting to over 450 billion U.S.D.
- As per ICRA, the NBFC-Retail AUM growth rate in FY23 was 16-18% in FY23 and 12-14% in FY24.
- Projected CAGR of the NBFC sector: 18.5% | 2021 – 2026
Peer Comparison
Particulars |
HDBFS |
Bajaj Finance Ltd. |
Total Income |
14171 Crs. |
54969 Crs. |
Net Interest Income |
11156 Crs. |
48306 Crs. |
PAT |
2460 Crs. |
14451 Crs. |
Net Profit Margin |
17% |
26% |
CMP (15/05/2024) |
₹1099 |
₹6668 |
MCAP |
86975 Crs. |
4,12,747 Crs. |
P/E Ratio |
35 |
28.52 |
P/B Ratio |
6 |
5.6 |
Key strengths
- Strategic Importance to HDFC Bank: HDBFS benefits significantly from its linkages with HDFC Bank, enabling it to raise funds at competitive rates. HDBFS complements HDFC Bank’s product portfolio and customer coverage and supports sourcing retail loan portfolios.
- Established Presence in Retail Segment: HDBFS has become one of the leading players in retail financing. Its portfolio has witnessed a CAGR of 8.4% over the last 5 years. As of FY23, vehicle loans accounted for the majority share of the AUM at 43.2%.
- Experienced Management | Comfortable Capital Structure
Key Weaknesses
- Moderate Asset Quality and Exposure to Riskier Segments.
- Vulnerability to Asset Quality Shocks.
IPO Plans
The CFO of HDFC Bank, Srinivasan Vaidyanathan, indicated that the IPO process for HDB Financial Services is anticipated to commence in the upcoming months. (Target - by September 2025). Know more about HDB Financial Services IPO plans.
Financial Charts of HDB Financial Services Unlisted Share Prices
Balance Sheet of HDB Financial Services Unlisted Share Prices
Profit and Loss of HDB Financial Services Unlisted Share Prices
Ancillary of HDB Financial Services Unlisted Share Prices
Ratio Analysis
Peers
Industry Benchmarking
Segment Revenue
Subsidaries
Security Allotment
Corporate Governance
Team Management Details
FAQs of HDB Financial Services Unlisted Share Prices
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How to buy HDB Financial Services Ltd.?
Below are three ways through which you can purchase HDB Financial Services Ltd.:
- We at Altius Investech have many actively traded scripts and are market makers of unlisted shares. To check out all the unlisted shares traded. (Click on link). To submit a request to buy HDB Financial Services Ltd., please click on the trade button at the top of this page
- Additionally, you can download our app from your play store or app store, register on our application, and engage in active trading there.
Download the Altius App here https://onelink.to/hf4m72 - You can also reach out to us at : +91 8240614850 / +91 8240861716
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How to sell HDB Financial Services Ltd.?
Below are three ways through which you can sell HDB Financial Services Ltd.:
- We at Altius Investech have many actively traded scripts and are market makers of unlisted shares. To check out all the unlisted shares traded. (Click on link). To submit a request to sell HDB Financial Services Ltd., please click on the trade button at the top of this page
- Additionally, you can download our app from your play store or app store, register on our application, and engage in active trading there.
Download the Altius App here https://onelink.to/hf4m72 - You can also reach out to us at : +91 8240614850 / +91 8240861716
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What is the price of HDB Financial Services Ltd.?
We provide a two way quote on all the shares we deal in. Your buy price for HDB Financial Services Ltd. is ₹1199 and your sell price for HDB Financial Services Ltd. is ₹1140. The price is based on our estimates and market conditions.
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What is the lock-in period of HDB Financial Services Ltd.?
The lock-in period for HDB Financial Services Ltd. varies depending on the category of investors:
- For retail Investors, HNIs, or Body Corporates, the lock-in period is 6 months from the date of the listing of HDB Financial Services Ltd.
- For Venture Capital Funds or Foreign Venture Capital Investors, there is a lock-in period of 6 months from the date of acquisition of HDB Financial Services Ltd.
- For AIF-II (Alternative Investment Funds - Category II), there is no lock-in period
August 2021 saw the introduction of this regulation by SEBI. The purpose of the regulation change, which lowered the lock-in period from a year to six months, was to incentivize additional investments in firms getting ready for initial public offerings, or IPOs. Since its introduction, a number of Portfolio Management Services (PMS) have advised their clients to purchase Pre-IPO shares in order to take advantage of the advantages associated with early-stage investments. This reduction in the lock-in period is considered as a significant step forward.
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How is the HDB Financial Services Ltd. price calculated?
Fundamental & Comparative valuation models and the forces of demand and supply in the market for unlisted shares dictate the price. These prices are based on our estimates and transaction history of HDB Financial Services Ltd.. The price is also determined from the most recent funding round for HDB Financial Services Ltd.. This provides us with a benchmark valuation, offering a clear indication of the company's current market value as perceived by investors and industry experts.
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What are the lot sizes of HDB Financial Services Ltd.?
We can generally arrange lot sizes starting with an investment of INR 20,000. To confirm the lot sizes of HDB Financial Services Ltd. with us kindly click here.
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What are the financials of HDB Financial Services Ltd.?
The financials of HDB Financial Services Ltd. which includes the P/L of HDB Financial Services Ltd. and the Balance Sheet of HDB Financial Services Ltd. is in the financials section (Click on link).
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Where can I find the annual report of HDB Financial Services Ltd.?
The annual report of HDB Financial Services Ltd. is available in the annual report section (Click on link).
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Is buying HDB Financial Services Ltd. legal in India?
Yes, buying and selling unlisted shares in India is indeed 100% legal. This activity is regulated and governed under the guidelines provided by the Securities and Exchange Board of India (SEBI). Investors and traders must adhere to these regulations and guidelines to ensure compliance with legal and financial standards. It's important for participants in the unlisted share market to be aware of and understand these regulations to engage in transactions legally and securely.
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Short-term Capital Gain taxes to be paid on HDB Financial Services Ltd.?
When you sell unlisted shares within a period of two years from the date of acquisition, any profit earned from the sale is classified as Short-term Capital Gain (STCG). This gain is then added to your total income for that financial year. The tax on this short-term capital gain is calculated based on your applicable individual income tax slab rates. Therefore, the rate at which you will pay tax on the STCG from unlisted shares depends on your total income, including this gain, and the tax slab it falls under as per the prevailing income tax laws in India. It's important for investors to consider these tax implications when engaging in transactions involving unlisted shares.
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Long-term Capital Gain taxes to be paid on HDB Financial Services Ltd. and how are They Taxed?
Long-term Capital Gains (LTCG) on unlisted shares in India refer to the profits earned from the sale of unlisted shares that have been held for more than two years. The key aspects of LTCG on unlisted shares include:
- Tax Rate: LTCG on unlisted shares is taxed at a rate of 20%.
- Indexation Benefit: This is a significant advantage for investors. Indexation allows for adjusting the purchase price of the shares for inflation, which can reduce the taxable gain.
- Importance for Investors: Understanding LTCG is crucial, especially for High Net-worth Individuals (HNIs) and retail investors, as it impacts their investment strategy and tax planning. Knowing these details helps in making informed investment decisions.
- Calculation: LTCG is calculated by subtracting the indexed cost of acquisition (the purchase price adjusted for inflation) from the sale price of the shares. The profit thus calculated is subject to a 20% tax.
- Applicability: LTCG tax is applicable to profits from the sale of unlisted shares held for more than two years.
- Relevance: This tax is particularly relevant to investors in the unlisted share market, including those considering selling their holdings after a period of more than two years.
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Applicability of Taxes on HDB Financial Services Ltd. once it is listed?
When shares initially bought in the unlisted market become listed, the taxation rules change significantly if these shares are sold through a stock exchange. Here's what investors need to know:
Transition to Listed Market Tax Rates: Once unlisted shares are listed on the stock exchange and subsequently sold, the tax rates applicable to listed securities come into effect. This shift means that the favourable tax treatments for listed shares, as per the prevailing tax laws, will apply.
Taxation Based on Holding Period: The crucial factor in determining the type of capital gains tax (Long-term or Short-term) is the holding period of the shares. Importantly, this period is calculated from the original purchase date when the shares were unlisted.
Long-term vs. Short-term Capital Gains: If the shares are sold after being held for more than one year from the date of purchase (including the period when they were unlisted), they are subject to Long-term Capital Gains (LTCG) tax.
Conversely, if sold within one-year, Short-term Capital Gains (STCG) tax rates apply.
Significance for Investors: This information is vital for investors in the unlisted market, as it impacts their tax planning and decision-making process. Understanding these nuances ensures that investors can strategically plan the sale of their shares post-listing to optimize tax implications.
Advice for Investors: It's advisable for investors to keep a record of their purchase dates and monitor the listing dates closely. Additionally, staying updated with the latest tax regulations or consulting with a financial advisor is recommended for accurate tax calculations and compliance. -
How does Altius Investech source HDB Financial Services Ltd.?
At Altius Investech, our approach to sourcing Boat Unlisted Share (Imagine Marketing) involves a strategic and direct method. Primarily, we acquire these shares from the below key groups:
Employees of the Company: Employee stock option plans (ESOPs) or other compensation packages frequently include shares for firm employees. For a various reasons, such as including portfolio diversification or financial considerations, some of these employees may eventually choose to sell their shares. We engage with these employees, providing them a platform to sell their shares.
Initial Investors: These are the angel or early-stage investors who provided capital to the business in its early stages. These original investors may look to sell all or part of their ownership position in the company as it develops and flourishes. This might be done for various reasons such as in order to maximise their investment, reallocate resources, or make other calculated financial decisions.
Funding rounds and VC funds: Altius Investech sources the shares from private placement rounds in which private companies seek to obtain capital from the market. Through our platform, venture capital funds can liquidate their shares and we receive the inventory from them when they decide to sell a portion of their ownership through block trades.
By establishing connections with these groups, Altius Investech guarantees our clients a steady and dependable supply of Boat Unlisted Share (Imagine Marketing). This process not only makes it easier for employees and initial investors in liquidating their assets, but it also gives our clients access to shares that aren't often found on the open market. Our platform effectively facilitates a win-win situation for both buyers and sellers. -
How to trust Altius Investech before buying HDB Financial Services Ltd. from its platform?
Altius Investech stands at being India's fastest growing and leading marketplace for buying and selling unlisted shares. We believe in enabling access to alternative sources of investments at lower entry barriers to private equity investments.
With more than 25 years of experience, Altius Investech has carved a niche in the financial market by serving more than 8000 clients. The incredible journey is further highlighted by the vast number of transactions that Altius Investech has facilitated transactions that have already exceeded 300 crores.
For investors Altius Investech curates investment opportunities in companies at reasonable valuations which are on the verge of an IPO leading to massive value unlocking. Investments are backed by thorough research and sound investment thesis, with a time bound exit plan.
For ESOP Shareholder and existing Investors, we assist them to liquidate their shares even if they are not publicly traded by creating a platform where we find the right buyers and sellers for the best prices.
Altius Investech have been featured in top media news outlets like Economic Times, Financial Express, Money control. Check out about us on these - leading publications (Click on link) Our journey over these years has not just been about numbers; it's been about building trust and reliability.
We at Altius Investech are dedicated to upholding the greatest levels of ethics and transparency, making sure that your investment experience is not only profitable but also safe and reliable.
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