L&T Finance Holdings: Sharekhan has downgraded the recommendation to Hold with a revised price target of Rs 103
L&T Finance Holdings Q2 FY21 results were steady. Operational performance was mixed as higher provisions dented PAT performance. Operational numbers were strong, asset quality has put up a good show, (lowest-ever GS3), and L&T Finance Holdings has guided to reduce its liquidity surplus, which are key positives. Net interest income (NII, Calculated) was up 7.7% yoy and up 13.5% qoq. Whereas, pre provision profit (PPOP) improved by 21% qoq (above expectations).
L&T Finance Holdings PAT declined by 51% yoy to Rs. 287.4 cr (up 16% qoq) mainly due to continued higher provisions (mostly on conservative basis): pic taken from youtube.com