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Company Overview
Business Operations: HFCL is involved in various financial services including financing, leasing, bill discounting, and other financial services. It has a wholly-owned subsidiary, Hero Housing Finance Limited (HHFL), which began lending operations in April 2018, offering home loans and loans against property.
Subsidiaries:
- Hero Housing Finance Limited (HHFL): Provides housing loans across India.
Retail and Non-Retail Presence (2020):
- Retail Business: Operates at 938 dealerships, with services available at over 4000 touchpoints across more than 1900 locations.
- Non-Retail Business: Offers loans against property, SME, and emerging corporate business from 50 locations, processing over 800 applications monthly.
Financial Highlights (2019):
- Stakeholding: Hero MotoCorp Limited holds a 41.03% stake.
- Growth: Revenue and net profit grew by 47.85% and 49.01% respectively over the past three years.
- Capital Adequacy Ratio: 19.03%, above the RBI norm of 15%.
- Credit Ratings: AA+ ratings from ICRA and CRISIL.
- Institutional Investors: Credit Suisse (Singapore) Limited holds a 2.58% stake, and ChrysCapital holds a 10.56% stake.
Key Highlights (2020):
- Became India’s No.1 two-wheeler financing company.
- Customer base exceeded 50 lakh across 2000 locations.
- Disbursed loans totaling ₹17,827 crore.
- Assets Under Management (AUM) reached ₹25,182 crore as of 31.03.2020.
- Profit After Tax (PAT) was ₹310 crore, a 16% increase from the previous year.
- Employee strength exceeded 7500.
- Recommended a final dividend of ₹2.55 per equity share.
Financial Performance (FY22-23):
| Metric | FY22 | FY23 | Growth |
|---|---|---|---|
| Net Interest Income | ₹2,563 crore | ₹3,546 crore | 38% |
| Other Income | ₹492 crore | ₹680 crore | 38% |
| Total Income | ₹3,055 crore | ₹4,226 crore | 38.3% |
| Operating Cost | ₹1,374 crore | ₹2,121 crore | 54.3% |
| Profit Before Provisioning | ₹1,681 crore | ₹2,105 crore | 25.2% |
| Provisioning | ₹1,800 crore | ₹1,200 crore | -33% |
| Profit After Provisioning | -₹119 crore | ₹905 crore | Turnaround |
| Profit After Tax (PAT) | -₹194 crore | ₹457 crore | Turnaround |
Fundamentals
| Parameter | Value | Parameter | Value |
|---|---|---|---|
| Current Price | ₹ 1825 | Market Cap (in Cr.) | ₹ 23177 |
| Debt to Equity | 7.38 | Face Value | 10 |
| Book Value | 454 | ROE (%) | 11.05 |
| P/B | 4.02 | P/E Ratio | 36.38 |
| PAN Number | AAACH0157J | EPS | 50.16 |
| ISIN | INE957N01016 | No. Of Shares (in Cr.) | 127 |
Promoters & Managements
| Hari Prakash Gupta | MD |
| Siddharth Gupta | Joint MD |
| Jai Narayan Tiwari | CFO |
Profit & Loss Statement
| P&L Statement | 2022 | 2023 |
|---|---|---|
| Revenue | 91.1 | 45.8 |
| Cost of Material Consumed | 41 | 22 |
| Gross Margins | 54.95 | 51.11 |
| Change in Inventory | 3 | 2 |
| Employee Benefit Expenses | 6 | 5 |
| Other Expenses | 31 | 13 |
| EBITDA | 10 | 3 |
| OPM | 10.99 | 6.67 |
| Other Income | 0.1 | 0.8 |
| Finance Cost | 0 | 0.4 |
| D&A | 0 | 0.3 |
| EBIT | 10 | 2.7 |
| EBIT Margins | 10.99 | 6 |
| PBT | 10 | 3 |
| PBT Margins | 10.99 | 6.67 |
| Tax | 2 | 0.7 |
| PAT | 8 | 2.3 |
| NPM | 8.79 | 5.11 |
| EPS | 266.67 | 71.88 |
Financial Ratios
| Financial Ratios | 2022 | 2023 |
|---|---|---|
| Operating Profit Margin (%) | 10.99 | 6.67 |
| Net Profit Margin (%) | 8.79 | 5.11 |
| Earnings Per Share (Diluted) | 266.67 | 71.88 |
Assets
| Year | 2022 | 2023 | 2024 |
|---|---|---|---|
| Fixed Assets | 92 | 111 | 181 |
| Cash and Balances | 1038 | 790 | 158 |
| Investments | 1172 | 1747 | 1896 |
| Advances | 31341 | 39871 | 49880 |
| Other Assets | 756 | 932.31 | 1089 |
| Total Assets | 34399 | 43451.31 | 53204 |
Liabilities
| Year | 2022 | 2023 | 2024 |
|---|---|---|---|
| Share Capital | 127 | 127.31 | 127 |
| Face Value (FV) | 10 | 10 | 10 |
| Reserves | 4640 | 5116 | 5638 |
| Borrowings | 27875 | 33359 | 42544 |
| Deposits | 0 | 0 | 0 |
| Other Liabilities | 1747 | 4849 | 4895 |
| Total Liabilities | 34399 | 43451.31 | 53204 |
Cash Flow Statement
| Year | 2022 | 2023 | 2024 |
|---|---|---|---|
| PBT (%) | -254 | 735 | 960 |
| OPBWC | 1621 | 2278 | 3121 |
| Term Deposit | 0 | 0 | 0 |
| Change in Investment | 0 | 0 | 0 |
| Change in Advances | -6987 | -9742 | -11581 |
| Change in Deposit | 0 | 0 | 0 |
| Other Changes | 62 | 676 | -503 |
| Working Capital Change | -6925 | -9066 | -12084 |
| Cash Generated From Operations | -5304 | -6788 | -8963 |
| Tax | 109 | 227 | 276 |
| Cash Flow From Operations | -5413 | -7015 | -9239 |
| Purchase of PPE | -23 | -50 | -161 |
| Sale of PPE | 5 | 2.71 | 4 |
| Purchase of Investment | -18773 | -17641 | -14832 |
| Sale of Investments | 19582 | 17163 | 14744 |
| Others | 39 | 68 | 115 |
| Cash Flow From Investment | 830 | -457.29 | -130 |
| Proceeds from Borrowing | 21131 | 24202 | 29256 |
| Repayment of Borrowing | -16759 | -19122 | -20410 |
| Dividend | -12 | 0 | -103 |
| Proceeds from Equity | 2 | 2000 | 0 |
| Others From Financing | -14 | 269 | -26 |
| Cash Flow From Financing | 4348 | 7349 | 8717 |
| Net Cash Generated | -235 | -123.29 | -652 |
| Cash at the Start | 1106 | 874 | 750 |
| Cash at the End | 871 | 750.71 | 98 |
Share Holding Pattern
| Shareholder | 2022 | 2023 |
|---|---|---|
| Hero MotoCorp Ltd. | 41.19% | 41.19% |
| Bahadur Chand Investment Pvt. Ltd. | 20.34% | 20.34% |
| Otter Limited | 10.12% | 10.12% |
| Others | 28.35% | 28.35% |
Frequently Asked Questions (FAQ)
Find answers to common questions, providing clarity and insights to address any queries on your mind.
Contact Us: Reach out to Unlistify to confirm availability and agree on a price.
Provide KYC: Submit your Client Master Report, PAN card, and a cancelled cheque.
Make Payment: Transfer funds to our designated bank account (RTGS/NEFT/IMPS/cheque). Ensure the payment originates from the same account where you want the shares credited.
Receive Shares: We’ll transfer the Hero Fincorp shares to your Demat account within 24 hours of payment confirmation.
Get a Quote: Unlistify will provide a buyback price for your Hero Fincorp shares.
Share Details: Submit your Client Master Report.
Transfer Shares: Transfer the Hero Fincorp shares to our Demat account using a DIS (Delivery Instruction Slip).
Receive Payment: We’ll transfer funds to your bank account within 24 hours of receiving the shares (RTGS/NEFT/IMPS/cheque). For security reasons, payment will only be made to the account linked to your Demat
DIS (Delivery Instruction Slip): A DIS is a form used to authorize the transfer of shares from your Demat account.
Methods:
Offline DIS: Fill out a physical DIS form with details like the ISIN number, quantity, price of your Hero Fincorp shares, and our account information. Submit this to your broker.
Online DIS: Some brokers offer online DIS systems for easier transfers.
Unlistify aims to make unlisted share investing accessible. The current minimum investment for Hero Fincorp Unlisted Shares is approximately 35,000 – 50,000 INR.
Limited Liquidity: Unlisted shares are not traded on public exchanges, making it potentially harder to find buyers when you want to sell.
Price Volatility: Prices can fluctuate more than listed shares due to less publicly available information.
Regulatory Changes: Regulations for unlisted shares can change, affecting their value and trading.
Company-Specific Risks: Each company has its own risks related to its industry, financials, and management.
No Guarantee of Listing: There’s no assurance that unlisted shares will ever be listed on a public exchange.
Market Leader: Unlistify is one of India’s fastest-growing unlisted share platforms.
Transparency: We provide clear information about each unlisted share, including potential risks.
Security: We prioritize the protection of your financial information.
Customer Support: Our team is dedicated to guiding you through the investment process.
Latest Funding: We consider the valuation from Hero Fincorp most recent funding round.
Comparable Companies: If there’s no recent funding, we analyze similar listed companies to estimate a fair value.
SEBI’s Influence: SEBI regulations do apply to some aspects of unlisted share trading, such as lock-in periods and transaction charges. However, there are no specific SEBI regulations for becoming an unlisted broker.
We aim for same-day transfer of Hero Fincorp Unlisted Shares to your Demat account after your payment is confirmed.
Tax Transition: Once your unlisted Hero Fincorp shares are listed and sold on an exchange, standard listed share tax rules apply.
Holding Period: Your holding period (for determining long-term vs. short-term capital gains tax) starts from the original unlisted purchase date.


