HDB Financial Services Ltd
HDBFS NSE
HDB Financial Services Ltd
Financial ServicesNSE: HDBFS BSE: 544429 Finance
Key Fundamentals
MidcapFinanceFinancial ServicesMarket Cap
₹57,302 Cr
Volatility
Moderate
P/E Ratio
20.59
EBITDA
₹9,512 Cr
Return on Equity
13.75%
Debt to Equity
5.47
Book Value
₹248.78
52W High
₹811.8
52W Low
₹555.3
Insights
BetaAI-extracted from concalls & annual reports · figures as reported, with sources
Log in to view HDB Financial Services Ltd insights
28 extracted metrics + investor summaries across FY16–FY26.
Tapetide Score
Data-driven rating, 0–100. How it works →
Technical Indicators
Key Insights
Weaknesses
5- Stock is trading at 2.77 times its book value
- Company has low interest coverage ratio.
- The company has delivered a poor sales growth of 11.0% over past five years.
- Company might be capitalizing the interest cost
- Dividend payout has been low at 11.2% of profits over last 3 years
Growth Rate
Revenue Growth
15.01% ↗
Net Income Growth
-11.58% ↘
Cash Flow Change
18.58% ↗
ROE
-23.23% ↘
ROCE
-0.53% ↘
EBITDA Margin (Avg.)
-0.51% ↘
AI Analysis — Bull vs Bear
anthropic claude-opus-4.6 7d agoAI opinion · based on fundamentals
Risk medium
HDB Financial Services, a 94.6% subsidiary of HDFC Bank, recently listed via IPO at ₹740 per share and currently trades around ₹686 with a market cap of approximately ₹56,518 crore. The company reported FY25 revenue of ₹16,300 crore (up 15% YoY) but saw PAT decline 12% to ₹2,175 crore, while its loan book grew 19.2% YoY to ₹1,03,343 crore with GNPA at 2.49%.
Bull Case 8
- Strong loan book growth of 19.2% YoY in FY25, expanding from ₹86,721 crore to ₹1,03,343 crore, demonstrating robust lending momentum
- Backed by HDFC Bank (94.6% promoter stake pre-IPO, now ~74%), providing strong parentage, brand trust, and access to low-cost funding channels
- Revenue from operations grew 15% YoY in FY25 to ₹16,300 crore, with interest income surging 24% YoY to ₹13,835 crore
- Net interest margin of approximately 8.2% is healthy for a retail-focused NBFC, indicating strong pricing power across its diversified product segments
- Three-year average ROE of approximately 16-18% reflects consistent capital efficiency above the cost of equity for the sector
- Diversified lending across Enterprise Lending, Asset Finance (largest segment), and Consumer Finance (22.79%) reduces concentration risk
- Q4 FY26 profit before tax grew 43.6% YoY to ₹1,011 crore, signaling a sharp earnings recovery after the FY25 dip
- Compounded profit growth of 45% over 5 years and 28% TTM indicates long-term earnings trajectory remains intact despite FY25 blip
Bear Case 8
- FY25 PAT declined 11.6% YoY from ₹2,460 crore to ₹2,175 crore despite strong topline growth, indicating margin or provisioning pressure
- Stock trades at 2.71x price-to-book, a premium valuation for an NBFC with only 14% ROE in the last year
- Low interest coverage ratio suggests vulnerability to rising borrowing costs or asset quality deterioration in a stressed environment
- Five-year compounded sales CAGR of only 11% is modest for a high-growth NBFC segment, lagging faster-growing peers
- Stock has declined approximately 9% over the past year (post-listing), underperforming broader indices and indicating weak investor sentiment
- Dividend payout of just 11.2% of profits over the last 3 years offers minimal income return to shareholders, with dividend yield at only 0.59%
- GNPA at 2.49% and net NPA at 1.38% are manageable but elevated compared to best-in-class NBFCs, and loan losses rose 8% YoY in Q4 FY26
- Potential interest cost capitalization flagged in accounts raises questions about the true cost structure and reported profitability
This is AI-generated analysis, not financial advice. Do your own due diligence.
AI News Digest
anthropic claude-opus-4.6 4h ago Positives 2
- Q1 net profit surges 38.3% Jul 15
HDB Financial Services reported net profit of ₹785 crore for Q1 FY27, up 38.3% YoY, with gross loan book growing 11.4% YoY to ₹1,21,846 crore.
- Jimmy Tata reappointed as director Jul 28
Board approved Jimmy Tata's appointment as Non-Executive Director nominee of HDFC Bank, pending RBI and shareholder approval, ensuring continuity of HDFC Bank representation.
Neutral 4
- ₹9,445 Cr NCD issuances at 8.23% Aug 6
HDB Financial Services allotted NCDs totalling ₹9,445 crore (₹5,445 Cr on Aug 6 and ₹4,000 Cr on Jul 23) at 8.2301% coupon, maturing July 5, 2029, secured against receivables.
- Investor meetings scheduled in August Aug 4
Company disclosed participation in three major conferences in Mumbai during August 2026, including Emkay Confluence and Equirus Annual India Conference.
- Jimmy Tata's term ended Jul 14 Jul 14
Jimmy Tata ceased to be Non-Executive Non-Independent Director on July 14, 2026 upon completion of his three-year term, but was subsequently reappointed on Jul 28.
- Board meeting for fund raising Jul 18
Board meeting scheduled for July 23 to consider fund raising; no details on size, instrument, or purpose were disclosed at announcement.
TL;DR: HDB Financial Services delivered a strong Q1 FY27 with 38.3% profit growth and healthy loan book expansion, signalling solid operational momentum. The company is actively raising debt capital through large NCD issuances totalling ₹9,445 crore to fund growth. No material headwinds are visible in recent news flow. The trend appears positive with improving profitability and proactive capital management heading into FY27.
Quarterly Results
| Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 3,667 | 3,884 | 4,007 | 4,144 | 4,266 | 4,465 | 4,545 | 4,674 | 4,745 | 4,938 |
| Expenses | 1,368 | 1,560 | 1,561 | 1,809 | 1,858 | 1,942 | 2,017 | 2,058 | 1,997 | 2,075 |
| Financing Profit | 922 | 828 | 847 | 689 | 758 | 784 | 835 | 912 | 1,066 | 1,110 |
| Fin. Margin % | 25% | 21% | 21% | 17% | 18% | 18% | 18% | 20% | 22% | 22% |
| Other Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest | 1,377 | 1,496 | 1,598 | 1,645 | 1,650 | 1,740 | 1,694 | 1,704 | 1,682 | 1,753 |
| Depreciation | 40 | 44 | 48 | 49 | 54 | 51 | 52 | 51 | 54 | 55 |
| PBT | 882 | 784 | 799 | 641 | 704 | 732 | 782 | 860 | 1,011 | 1,055 |
| Tax % | 26% | 26% | 26% | 26% | 25% | 22% | 26% | 25% | 26% | 26% |
| Net Profit | 656 | 582 | 591 | 472 | 531 | 568 | 581 | 644 | 751 | 785 |
| EPS in Rs | 8.27 | 7.33 | 7.44 | 5.95 | 6.67 | 6.84 | 7.01 | 7.76 | 9.04 | 9.46 |
| Gross NPA % | 1.9% | — | 2.1% | 2.25% | 2.26% | 2.56% | 2.81% | 2.81% | 2.44% | — |
| Net NPA % | — | — | — | 0.9% | 0.99% | 1.11% | 1.27% | 1.25% | 1.09% | 1.04% |
Profit & Loss
| Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | TTM | |
|---|---|---|---|---|---|---|---|
| Revenue | 10,945 | 11,312 | 12,403 | 14,173 | 16,300 | 18,431 | 18,902 |
| Expenses | 6,451 | 6,540 | 6,153 | 5,817 | 6,745 | 7,980 | 8,147 |
| Financing Profit | 610 | 1,446 | 2,738 | 3,449 | 3,122 | 3,595 | 3,922 |
| Fin. Margin % | 6% | 13% | 22% | 24% | 19% | 20% | 21% |
| Other Income | -2 | 0 | 1 | 1 | 0 | 1 | 0 |
| Interest | 3,883 | 3,326 | 3,512 | 4,907 | 6,433 | 6,856 | 6,834 |
| Depreciation | 108 | 99 | 112 | 145 | 194 | 209 | 213 |
| PBT | 501 | 1,348 | 2,627 | 3,305 | 2,928 | 3,386 | 3,709 |
| Tax % | 22% | 25% | 25% | 26% | 26% | 25% | — |
| Net Profit | 391 | 1,011 | 1,959 | 2,461 | 2,176 | 2,544 | 2,761 |
| EPS in Rs | 4.96 | 12.8 | 24.76 | 31.03 | 27.34 | 30.64 | 33.27 |
| Div. Payout % | 0% | 8% | 8% | 10% | 11% | 13% | — |
Balance Sheet
| Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|
| Equity Capital | 789 | 790 | 791 | 793 | 796 | 830 |
| Reserves | 7,657 | 8,749 | 10,646 | 12,950 | 15,024 | 19,834 |
| Borrowing | 50,359 | 48,973 | 54,865 | 74,331 | 89,682 | 99,230 |
| Other Liabilities | 3,836 | 3,513 | 3,748 | 4,483 | 3,161 | 3,757 |
| Total Liabilities | 62,641 | 62,026 | 70,050 | 92,557 | 1,08,663 | 1,23,651 |
| Fixed Assets | 317 | 293 | 387 | 511 | 735 | 773 |
| CWIP | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | 1,593 | 2,234 | 1,243 | 3,380 | 2,060 | 3,748 |
| Other Assets | 60,731 | 59,500 | 68,420 | 88,665 | 1,05,868 | 1,19,130 |
| Total Assets | 62,641 | 62,026 | 70,050 | 92,557 | 1,08,663 | 1,23,651 |
Cash Flow
| Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|
| Operating | -342 | 1,987 | -6,851 | -16,736 | -13,626 | -8,606 |
| Investing | 131 | -703 | 973 | -2,146 | 1,159 | -1,772 |
| Financing | 608 | -1,500 | 5,796 | 19,134 | 12,770 | 10,673 |
| Net Cash Flow | 398 | -216 | -81 | 252 | 303 | 296 |
| Free Cash Flow | -366 | 1,947 | -6,960 | -16,858 | -13,834 | -8,747 |
| CFO/OP | -12 | 42 | -99 | -191 | -135 | -74 |
Ratios
| Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|
| ROE % | 5% | 11% | 19% | 20% | 15% | 14% |
Documents
1
Announcement under Regulation 30 (LODR)-Allotment
28 Apr - Allotted 32,500 NCDs worth Rs 325 crore on April 28, 2026. 28 Apr - Allotted 32,500 NCDs worth Rs 325 crore on April 28, 2026.
2
Compliances-Reg.24(A)-Annual Secretarial Compliance
25 Apr - Annual Secretarial Compliance Report for FY 2025-2026 noted by Board on April 15, 2026. 25 Apr - Annual Secretarial Compliance Report for FY 2025-2026 noted by Board on April 15, 2026.
3
Announcement under Regulation 30 (LODR)-Allotment
22 Apr - Allotted 30,000 NCDs aggregating Rs 300 crore on April 22, 2026; maturity May 4, 2029. 22 Apr - Allotted 30,000 NCDs aggregating Rs 300 crore on April 22, 2026; maturity May 4, 2029.
5
Announcement under Regulation 30 (LODR)-Allotment
28 Apr - Allotted 32,500 NCDs worth Rs 325 crore on April 28, 2026. 28 Apr - Allotted 32,500 NCDs worth Rs 325 crore on April 28, 2026.
Frequently Asked Questions about HDB Financial Services Ltd
What does HDB Financial Services Ltd do?
Incorporated in 2007, HDB Financial Services Limited (HDBFS) is a non-deposit-taking NBFC and a subsidiary of HDFC Bank engaged in providing lending solutions.[1]
Where is HDB Financial Services Ltd (HDBFS) listed?
HDB Financial Services Ltd is listed on the Indian stock exchanges. It is listed on NSE: HDBFS and BSE: 544429. You can view its live share price, financials, and ratios on Tapetide.
Which sector does HDB Financial Services Ltd belong to?
HDB Financial Services Ltd operates in the Financial Services sector within the Finance industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of HDB Financial Services Ltd?
HDB Financial Services Ltd has a market capitalisation of approximately ₹57302.35 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of HDB Financial Services Ltd?
The Price-to-Earnings (PE) ratio of HDB Financial Services Ltd is 20.59. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of HDB Financial Services Ltd?
Over the past 52 weeks, HDB Financial Services Ltd has traded between a low of ₹555.3 and a high of ₹811.8. This range helps investors understand the stock's price volatility and recent trading levels.
Does HDB Financial Services Ltd pay dividends?
Yes, HDB Financial Services Ltd has a dividend yield of 0.58%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of HDB Financial Services Ltd?
HDB Financial Services Ltd has a Return on Equity (ROE) of 13.75%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research HDB Financial Services Ltd on Tapetide?
On Tapetide, you can view HDB Financial Services Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.
Company Information
Incorporated in 2007, HDB Financial Services Limited (HDBFS) is a non-deposit-taking NBFC and a subsidiary of HDFC Bank engaged in providing lending solutions.[1]
Website hdbfs.com
CEO Mr. Ramesh Ganesan M.B.A.
Employees 89,943
Listed 2025-07-02
Face Value ₹ 10
Issued Size 83,00,38,180