Hero FinCorp

Share it on: 

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):

MetricFY22FY23Growth
Net Interest Income₹2,563 crore₹3,546 crore38%
Other Income₹492 crore₹680 crore38%
Total Income₹3,055 crore₹4,226 crore38.3%
Operating Cost₹1,374 crore₹2,121 crore54.3%
Profit Before Provisioning₹1,681 crore₹2,105 crore25.2%
Provisioning₹1,800 crore₹1,200 crore-33%
Profit After Provisioning-₹119 crore₹905 croreTurnaround
Profit After Tax (PAT)-₹194 crore₹457 croreTurnaround

Fundamentals

ParameterValueParameterValue
Current Price₹ 1825Market Cap (in Cr.)₹ 23177
Debt to Equity7.38Face Value10
Book Value454ROE (%)11.05
P/B4.02P/E Ratio36.38
PAN NumberAAACH0157JEPS50.16
ISININE957N01016No. Of Shares (in Cr.)127

Promoters & Managements

Hari Prakash GuptaMD
Siddharth GuptaJoint MD
Jai Narayan TiwariCFO

 

Share Buy Sell Form

Income Statement
Balance Sheet
Cash Flow

Profit & Loss Statement

P&L Statement20222023
Revenue91.145.8
Cost of Material Consumed4122
Gross Margins54.9551.11
Change in Inventory32
Employee Benefit Expenses65
Other Expenses3113
EBITDA103
OPM10.996.67
Other Income0.10.8
Finance Cost00.4
D&A00.3
EBIT102.7
EBIT Margins10.996
PBT103
PBT Margins10.996.67
Tax20.7
PAT82.3
NPM8.795.11
EPS266.6771.88

Financial Ratios

Financial Ratios20222023
Operating Profit Margin (%)10.996.67
Net Profit Margin (%)8.795.11
Earnings Per Share (Diluted)266.6771.88

Assets

Year202220232024
Fixed Assets92111181
Cash and Balances1038790158
Investments117217471896
Advances313413987149880
Other Assets756932.311089
Total Assets3439943451.3153204

Liabilities

Year202220232024
Share Capital127127.31127
Face Value (FV)101010
Reserves464051165638
Borrowings278753335942544
Deposits000
Other Liabilities174748494895
Total Liabilities3439943451.3153204



Cash Flow Statement

Year202220232024
PBT (%)-254735960
OPBWC162122783121
Term Deposit000
Change in Investment000
Change in Advances-6987-9742-11581
Change in Deposit000
Other Changes62676-503
Working Capital Change-6925-9066-12084
Cash Generated From Operations-5304-6788-8963
Tax109227276
Cash Flow From Operations-5413-7015-9239
Purchase of PPE-23-50-161
Sale of PPE52.714
Purchase of Investment-18773-17641-14832
Sale of Investments195821716314744
Others3968115
Cash Flow From Investment830-457.29-130
Proceeds from Borrowing211312420229256
Repayment of Borrowing-16759-19122-20410
Dividend-120-103
Proceeds from Equity220000
Others From Financing-14269-26
Cash Flow From Financing434873498717
Net Cash Generated-235-123.29-652
Cash at the Start1106874750
Cash at the End871750.7198



Share Buy Sell Form

Share Holding Pattern

Shareholder20222023
Hero MotoCorp Ltd.41.19%41.19%
Bahadur Chand Investment Pvt. Ltd.20.34%20.34%
Otter Limited10.12%10.12%
Others28.35%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.