DCB Bank Q1 Review - Sticks To Growth Targets, Investing Heavily In Supporting Infra: Nirmal Bang

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Nirmal Bang Report.DCB Bank Ltd.’s net profit in Q1 FY23 grew by 188% YoY, led by strong loan growth, margin expansion and drop in provisioning even as opex intensity remained elevated on the back of growth investments. Sequential loan growth stood at 2.5%, which implies that subsequent QoQ growth rate will need to be higher as the bank looks to double its balance sheet every three-four years. The YoY increase in headcount and branches implies growth investments being undertaken by the bank. Opex ratio for FY23 is likely to remain elevated. DCB Bank is guiding for 55-60 basis points credit cost on the back of asset quality improvement. Slippages were elevated in Q1 FY23 due to gold loans, but are expected to decline going forward, as collections have been improving. The bank is targeting 1%/14% return on asset/return on equity in the next four-five quarters..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

DCB Bank Q1 Review - Sticks To Growth Targets, Investing Heavily In Supporting Infra: Nirmal Bang

DCB Bank Q1 Review - Sticks To Growth Targets, Investing Heavily In Supporting Infra: Nirmal Bang

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