{"id":143326,"date":"2023-03-20T09:30:29","date_gmt":"2023-03-20T13:30:29","guid":{"rendered":"https:\/\/44.250.171.167\/?p=143326"},"modified":"2023-03-20T09:30:31","modified_gmt":"2023-03-20T13:30:31","slug":"equitas-small-finance-bank-q3-fy23-earnings-conference-call-insights","status":"publish","type":"post","link":"https:\/\/alphastreet.com\/india\/equitas-small-finance-bank-q3-fy23-earnings-conference-call-insights\/","title":{"rendered":"Equitas Small Finance Bank Q3 FY23 Earnings Conference Call Insights"},"content":{"rendered":"<p><strong>Key highlights from Equitas Small Finance Bank (<a href=\"https:\/\/44.250.171.167\/symbol\/EQUITASBNK\/\">EQUITASBNK<\/a>) Q3 FY23 Earnings Concall<\/strong><\/p>\n<p><strong>Q&amp;A Highlights:<\/strong><\/p>\n<ul>\n<li>[00:24:44] Jai Mundhra from B&amp;K Securities asked about the key changes in MD\u2019s terms of employment or remuneration details. P. N. Vasudevan MD answered that the Board has recommended a 3-year renewal of his term and the terms of appointment will remain similar with normal marginal increases in compensation, subject to RBI approval.<\/li>\n<\/ul>\n<ul>\n<li>[00:26:11] Jai Mundhra from B&amp;K Securities enquired how one should look at the relative importance on SA vs. TD. P. N. Vasudevan MD replied that the bank will focus on increasing CASA deposits as much as possible, but will also accept deposits due to the gap between savings and deposit interest rates. The goal is to retain 45% CASA while the remaining comes from deposits.<\/li>\n<\/ul>\n<ul>\n<li>[00:27:42] Jai Mundhra from B&amp;K Securities asked about the SA and TD rate growth outlook. P. N. Vasudevan MD answered that there&#8217;s no particular plan today to touch the SA rates at this point in time. So largely, the rate changes will be on the TD part of it.<\/li>\n<\/ul>\n<ul>\n<li>[00:30:34] Deepan Shankar at Trustline queried if the company has started seeing profitable growth visibility in microfinance segment and if the growth will continue. Rohit Phadke replied that microfinance is profitable and will continue to be, with the microfinance book restricted between 15-20%.<\/li>\n<\/ul>\n<ul>\n<li>[00:38:09] Renish Bhuva from ICICI Securities asked how confident the company is of sustaining the 2% plus ROA in coming quarters. Rohit Phadke replied that the credit cost for the company is 0.84%, and hope to trend back towards 1% next year if business remains normal. EQUITASBNK also hopes to increase the PCR to 60% by FY25.<\/li>\n<\/ul>\n<ul>\n<li>[00:40:16] Punit Bahlani with Nomura asked about the reason for cost of funds increasing while yields being broadly flat. Sridharan N CFO said that the treasury assets as a percentage of balance sheet has roughly remained the same at 20%, and the treasury yields have gone up in Q3 vs. Q2, with the investments or the interest-earning higher yields.<\/li>\n<\/ul>\n<ul>\n<li>[00:41:23] Punit Bahlani with Nomura enquired if the company is planning to increase the PCR in the microfinance book. Rohit Phadke replied that credit cost for the next year will be released next quarter and is generally 1%. PCR will be increased to 60% in 4-6 quarters. This higher PCR will apply to higher-risk assets, and microfinance accounts for 18% of the book so there will not be a lot of disturbance.<\/li>\n<\/ul>\n<ul>\n<li>[00:42:45] Punit Bahlani with Nomura asked about the slippages from the restructured pool. Rohit Phadke answered that INR85.99 crores was the slippages on the restructured book.<\/li>\n<\/ul>\n<ul>\n<li>[00:43:55] Jyoti Khatri\u00a0 at Arihant Capital asked about the guidance for credit cost for FY23. Rohit Phadke replied that 1.5% is for the current financial year. And for the first nine months it\u2019s 1.64%.<\/li>\n<\/ul>\n<ul>\n<li>[00:49:11] Ashlesh Sonje of Kotak Securities asked about opex, if the company is done with most of the employee addition. P. N. Vasudevan MD replied that the company will continue to add people and the manpower won\u2019t be flattening.<\/li>\n<\/ul>\n<ul>\n<li>[00:54:29] Abhishek from HSBC enquired what kind of improvement could be seen in opex ratios as growth recovers and asset quality improves. Rohit Phadke said the cost to assets is around 6.4%. As the business expands, the average asset duration of 2.2 years will increase, and the cost to assets will slowly start trending downwards.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Key highlights from Equitas Small Finance Bank (EQUITASBNK) Q3 FY23 Earnings Concall Q&amp;A Highlights: [00:24:44] Jai Mundhra from B&amp;K Securities asked about the key changes in MD\u2019s terms of employment or remuneration details. P. N. Vasudevan MD answered that the Board has recommended a 3-year renewal of his term and the terms of appointment will [&hellip;]<\/p>\n","protected":false},"author":1767,"featured_media":125416,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":"","jetpack_publicize_message":"Equitas Small Finance Bank Q3 FY23 Earnings Conference Call Insights #EQUITASBNK #Q3 #FY23 #Earnings #Stocks","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[9825,392,1],"tags":[151,10169,8265],"class_list":["post-143326","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-earnings-call-highlights","category-earnings","category-finance-stocks","tag-banking","tag-earnings","tag-finance"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg","jetpack_likes_enabled":false,"jetpack-related-posts":[{"id":145352,"url":"https:\/\/alphastreet.com\/india\/equitas-small-finance-bank-q4-fy23-earnings-conference-call-insights\/","url_meta":{"origin":143326,"position":0},"title":"Equitas Small Finance Bank Q4 FY23 Earnings Conference Call Insights","author":"Praveen","date":"May 8, 2023","format":false,"excerpt":"Key highlights from Equitas Small Finance Bank (EQUITASBNK) Q4 FY23 Earnings Concall Management Update: [00:06:46] EQUITASBNK Vehicle Finance delivered its highest-ever disbursement in a quarter, and CV sales have grown by 38% year-on-year. Q&A Highlights: [00:17:17] Darpin Shah from Haitong India asked how the bank sees the cost to assets\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":141010,"url":"https:\/\/alphastreet.com\/india\/equitas-small-finance-bankequitasbnk-q3-fy23-earnings-concall-transcript\/","url_meta":{"origin":143326,"position":1},"title":"EQUITAS SMALL FINANCE BANK(EQUITASBNK) Q3 FY23 Earnings Concall Transcript","author":"IRS_INDIA","date":"February 12, 2023","format":false,"excerpt":"EQUITAS SMALL FINANCE BANK(NSE:EQUITASBNK) Q3 FY23 Earnings Concall dated Feb. 09, 2023. Corporate Participants: P. N. Vasudevan\u00a0--\u00a0Managing Director and Chief Executive Officer Rohit Gangadhar Phadke\u00a0--\u00a0President and Head - Emerging Enterprise Banking and Mortgages Murali Vaidyanathan\u00a0--\u00a0Senior President and Country Head - Branch Banking - Liabilities, Products and Wealth Natarajan Muthusubramanian\u00a0--\u00a0Executive Vice\u2026","rel":"","context":"In &quot;Earnings Call Transcripts&quot;","block_context":{"text":"Earnings Call Transcripts","link":"https:\/\/alphastreet.com\/india\/category\/transcripts\/"},"img":{"alt_text":"Earnings Conference Call Transcript","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2020\/09\/Transcript-thumbnail-e1657213425955.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2020\/09\/Transcript-thumbnail-e1657213425955.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2020\/09\/Transcript-thumbnail-e1657213425955.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":132254,"url":"https:\/\/alphastreet.com\/india\/yes-bank-limited-q1-fy23-earnings-conference-call-insights\/","url_meta":{"origin":143326,"position":2},"title":"Yes Bank Limited Q1 FY23 Earnings Conference Call Insights","author":"Praveen","date":"August 3, 2022","format":false,"excerpt":"https:\/\/youtu.be\/lZ1Me58PrhI Key highlights from Yes Bank Limited (YESBANK) Q1 FY23 Earnings Concall Q&A Highlights: Mahrukh Adajania of Edelweiss asked about risk to the growth guidance. Prashant Kumar MD answered that as of now the bank is not seeing any impact on the demand side, either on the corporate side or\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":135150,"url":"https:\/\/alphastreet.com\/india\/union-bank-of-india-ltd-q2-fy23-earnings-conference-call-insights\/","url_meta":{"origin":143326,"position":3},"title":"Union Bank of India Ltd Q2 FY23 Earnings Conference Call Insights","author":"Praveen","date":"October 26, 2022","format":false,"excerpt":"https:\/\/youtu.be\/SkSuLHWUnyA Key highlights from Union Bank of India Ltd (UNIONBANK) Q2 FY23 Earnings Concall Q&A Highlights: [00:10:09] Ashok Ajmera from Ajcon Global asked that in 2Q23 how much provision is done for fraud accounts. P. K. Samal CFO replied that when an account is fraud, automatically 100% provision is made\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":144085,"url":"https:\/\/alphastreet.com\/india\/yes-bank-limited-q4-fy23-earnings-conference-call-insights\/","url_meta":{"origin":143326,"position":4},"title":"Yes Bank Limited Q4 FY23 Earnings Conference Call Insights","author":"Praveen","date":"April 25, 2023","format":false,"excerpt":"Key highlights from Yes Bank Limited (YESBANK) Q4 FY23 Earnings Concall Q&A Highlights: [00:17:21] Mahrukh Adajania with Nuvama asked when does YESBANK anticipate the recovery to begin, given that it doesn\u2019t expect significant ageing provisions on SRs. Prashant Kumar MD replied that YESBANK recovered INR1,100 crores from security receipts in\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":131600,"url":"https:\/\/alphastreet.com\/india\/icici-bank-limited-q1-fy23-earnings-conference-call-insights\/","url_meta":{"origin":143326,"position":5},"title":"ICICI Bank Limited Q1 FY23 Earnings Conference Call Insights","author":"Praveen","date":"July 25, 2022","format":false,"excerpt":"https:\/\/youtu.be\/R5WvpsGCwCE Key highlights from ICICI Bank Limited (ICICIBANK) Q1 FY23 Earnings Concall Management Update: ICICIBANK said employee expenses increased by 20% YonY, while non-employee expenses increased by 28.8% YonY in 1Q23, mainly due to retail business and technology related expenses. Q&A Highlights: Mahrukh Adajania with Edelweiss asked about the reason\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]}],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts\/143326","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/users\/1767"}],"replies":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/comments?post=143326"}],"version-history":[{"count":0,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts\/143326\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/media\/125416"}],"wp:attachment":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/media?parent=143326"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/categories?post=143326"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/tags?post=143326"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}