HDB Financial Services IPO Review

HBD Financial Services is one of the leading, diversified retail-focused non-banking financial companies (“NBFCs”) in India in terms of Total Gross Loan book  size, according to the CRISIL Report. The Company is categorized as an Upper Layer NBFC (NBFC-UL) by the RBI. They offer a large portfolio of lending products that cater to a growing and diverse customer base through a wide omni-channel distribution network.

The Company's Promoter is HDFC BANK LIMITED.

The Revenues from operations for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹  163,002.80 Million, ₹  141,711.20 Million and ₹  124,028.80 Million. The EBITDA for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹  95,123.70 Million, ₹  83,141.30 Million and ₹ 62,511.60 Million. The Profit after Tax for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were were ₹   21,759.20 Million, ₹ 24,608.04 Million and ₹  19,593.50 Million respectively. This indicates a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹ 27.32 and post-issue EPS of ₹ 26.23 for FY24. The pre-issue P/E ratio is 27.08x, while the post-issue P/E ratio is 28.21x against the Industry P/E Ratio is 23x. The company's ROAE for FY24 is 14.72% and RoNW is 14.72%. These metrics suggest that the IPO is fully priced.

The Grey Market Premiu (GMP) of HDB Financial Services showing listing gains of 0.00 %.Given the company's financial performance and the valuation of the IPO, we recommend Investors to Avoid to the HDB Financial Services Limited IPO for Listing gain.

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About the Author
CA Abhay Kumar (Also known as  CA Abhay Varn) is a qualified Chartered Accountant by profession and cleared CA at age 21. He is a SEBI Registered Research Analyst with Registration Number - INH300008465. He Possesses 8+ years of experience in the Stock Market Field and has also worked in Big CA firms.