Disbursements weak; NIM compression leads to earnings miss

Company
25 Jan 2024
5 Min read 
  • PNB Housing's 3QFY24 PAT grew 26% YoY but declined 12% QoQ due to NIM compression.
  •  Disbursements in 3QFY24 grew 21% YoY but declined 1% QoQ.
  •  Management revised retail loan growth guidance to 15% for FY24.
  •  Credit cost guidance lowered to 30-35bp for FY24-FY26.
  •  Management aims to improve yields through product diversification and lower borrowing costs.
  •  Maintain BUY rating with an unchanged TP of INR1,025.
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