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Earnings Call

Five-Star Business Finance Earnings Call: Key Takeaways

Management is managing a 'lender-made' behavioral crisis in small-ticket loans by prioritizing collection stability over aggressive disbursement.

Why this was an Alfa AlertNot a filter event. PAT was 3% lower than the previous quarter.
Highlights
Revenue growthPAT at ₹277cr, up 1% YoY; disbursement volume down 18% QoQ.
MarginsNIMs compressed by 50bps YoY; spreads stable at 13.9%.
Demand visibilityModerated by choice; prioritizing collection efficiency before re-accelerating growth.
Management confidenceCautiously optimistic, focusing on credit culture restoration over technical write-offs.

Growth

Disbursements fell 18% QoQ as the company pivoted to fixing asset quality rather than chasing volume.

Outlook

Recovery trend expected in Q4; current liquidity buffer stands robust at ₹2,276 crores.

Risks

Persistent stress in the under 3-lakh segment and rising slippages in Stage 3 assets remain significant triggers.

Source

Earnings Call filed with NSE, NSE: FIVESTAR. Summary written with AI assistance from the document.

Read the document ↗

Five-Star Business Finance Ltd: key numbers

Share price
₹520.95
Market cap
₹15,378 Cr
Revenue (annual)
₹3,218 Cr
Net profit (annual)
₹1,099 Cr
P/E (TTM)
13.9×Sector 22.0×
Promoter holding
18.61%+0.00% QoQ
FII holding
43.97%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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Employee Stock Options

Five-Star Business Finance Employee Stock Options

Five-Star Business Finance allotted 7,040 equity shares under its 2018 ESOP scheme. Paid-up capital rose to ₹29.52 Crore following the option exercise.